There are always pros and cons when making any major decision, and buying a home is arguably one of the most major decisions any of us can make. Let’s look at some of the factors to
Home ownership…Is it for you?
Dated: October 26 2019
There are always pros and cons when making any major decision, and buying a home is arguably one of the most major decisions any of us can make.
Let’s look at some of the factors to consider when determining your best options:
YES! I want to buy a house because:
- Rent is expensive
Worcester rents have increased by 6.1 percent. With the excitement of the new Polar Park, and the westward push to find more affordable housing, Worcester and surrounding towns are hot! This is great for landlords and homeowners, but renters are looking at writing a substantial check on the first of every month. According to RealPage, Worcester’s average rent in the third quarter was $1,693 per month. Although loan amounts will vary, that could be the mortgage on a $300,000 house. To find out exactly how much you qualify for, contact a trusted loan officer. If you need recommendations, I can provide names of lenders that my clients have been satisfied with.
- Property builds equity which translates into long-term wealth
Although the economy fluctuates, real estate has proven to be a fantastic investment over the years. In fact, the majority of people’s wealth is in their home, building equity which may be used to finance education, vacation homes or even travel.
- Home ownership roots people in their community
A homeowner is invested in the community, providing stability and security. You will feel more connected to your neighbors, and perhaps become motivated to get more involved in local events and politics.
- There is more autonomy when you own your home
You are able to make changes to architecture, décor and landscaping that would most likely be prohibited in a rental. Let your personality show!
- There are no tax benefits to renting
Talk to your accountant to get more specific details about how you could benefit.
- You are at the mercy of your landlord
Your rent could increase, or worse, your landlord could decide to sell the property and you could be evicted.
Conversely, owning a home is not for everyone. Let’s consider some reasons that renting may be your best option at this time:
- You are responsible for maintenance and repairs
While you are not dependent on your landlord to get things done, the responsibility now lies with you.
- You are responsible for property taxes and other ownership expenses
Water/sewer, trash removal, landscaping and snow removal are some of the expenses that a homeowner may incur.
- Possible loss of equity
While we know that historically real estate is a good investment, it, like the stock market is a good long-term investment. If you are planning to live in your home for less than five years, you may not want to risk that the economy may take a downturn.
- Less mobility than renting
It is much easier to pack up and leave rental than selling a home that you own.
If after considering all the factors you decide that you would like to pursue home ownership, or if you want the freedom of renting and want to sell, give me a call! You will be well represented by an experienced agent who will be available and happy to help you navigate through what can be tricky waters.
I am a full time Realtor®, and I am happy to discuss any or all of your real estate concerns and answer questions.
Whether you are buying, selling or investing, I promise to do my absolute best to ensure your experience is a good one. Having left a long time career in advertising to pursue a career in Real Estate....