Home Ownership As A Financial Tool

According to a recent Trulia report, “buying is cheaper than renting in 100 of the largest metro areas by an average of 37.7%.” 

In the report, Ralph McLaughlin, Trulia’s Chief Economist explains:

“Owning a home is one of the most common ways households build long-term wealth, as it acts like a forced savings account. Instead of paying your landlord, you can pay yourself in the long run through paying down a mortgage on a house.”

5 reasons why owning a home makes financial sense

1. Mortgage payments (principal + interest) are fixed – rents can be increased.
2. You can use the equity in your home as a financial resource.
3. You can build wealth without paying capital gains.
4. A mortgage can act as a forced savings account.
5. Generally, homeowners enjoy greater wealth growth than renters.

Real Estate Bottom Line

Before signing another lease, let’s get together and discuss your options to see if buying a home makes sense for you.