Do You Know The Cost Of NOT Owning Your Home

Dated: 05/15/2017

Views: 544

Do You Know the Cost of NOT Owning Your Home? | Simplifying The Market

Owning a home has great financial benefits, yet many continue renting! Today, let’s look at the financial reasons why owning a home of your own has been a part of the American Dream for as long as America has existed.

Zillow recently reported that:

“With Rents continuing to climb and interest rates staying low, many renters find themselves gazing over the homeownership fence and wondering if the grass really is greener. Leaving aside, for the moment, the difficulties of saving for a down payment, let’s focus on the monthly expenses of owning a home: it turns out that renters currently paying the median rent in many markets could afford to buy a higher-quality property than the typical (read: median-valued) home without increasing their monthly expenses.”

What proof exists that owning is financially better than renting?

1. The latest Rent Vs. Buy Report from Trulia pointed out the top 5 financial benefits of homeownership:

  • Mortgage payments can be fixed while rents go up.

  • Equity in your home can be a financial resource later.

  • You can build wealth without paying capital gain.

  • A mortgage can act as a forced savings account

  • Overall, homeowners can enjoy greater wealth growth than renters.

2. Studies have shown that a homeowner’s net worth is 45x greater than that of a renter.

3. Just a few months ago, we explained that a family buying an average priced home at the beginning of 2017 could build more than $42,000 in family wealth over the next five years.

4. Some argue that renting eliminates the cost of taxes and home repairs, but every potential renter must realize that all the expenses the landlord incurs are already baked into the rent payment along with a profit margin!!

Blog author image

Jimmy Swann

Jimmy Swann, Broker/Owner for Swann Group Realty works towards the clients goals and understands how important that the Real Estate Agency you choose to employ and guide you through this journey is yo....

Latest Blog Posts

Aug 13 2018 60358 1

Has the home search in Raleigh been stressful for anyone? Has the home of your dreams been taken off the market in a matter of days before you commit to an offer? Did you know that the average days

Read More

Raleigh Home Office Design Resources For Entrepreneurs Freelancers And Work From Home Professionals

The Eye Notes on Style Design and Fine Living. To see homes for sale in Raleigh, Cary, Apex and Fayetteville, visit swanngrouprealty.com Brittany StewartRefuel your workday in style Raleigh

Read More

HOME A Daily Quote January 24th 2018

HOMEA daily quote featuring a flash of humor, a pinch of philosophy and a dash of style. To see homes for sale in Raleigh, Cary, Apex, Fayetteville and surrounding areas, visit 

Read More

HOME A Daily Quote January 23rd 2018

HOMEA daily quote featuring a flash of humor, a pinch of philosophy and a dash of style. To see homes for sale in Raleigh, Cary, Apex, Fayetteville and surrounding areas, visit 

Read More