Homeownership Is A Good Financial Investment

Dated: 06/13/2017

Views: 101


According to a recent report by Trulia“buying is cheaper than renting in 100 of the largest metro areas by an average of 33.1%.” The report may have some people thinking about buying a home instead of signing another lease extension, but does that make sense from a financial perspective?


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.”


The article listed five reasons why owning a home makes financial sense:

  1. Mortgage payments can be fixed while rents go up.

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

  3. You can build wealth without paying capital gains.

  4. A mortgage can act as a forced savings account.

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


Bottom Line

Before you sign another lease, perhaps you should sit with a real estate professional in your area to better understand all your options.


Source: Keeping Current Matters

Want to Advertise on this Site?

Latest Blog Posts

Feb 20 2018 21170 1

Hey read this article today:Higher Rates Could Raise Housing Costs 15% DAILY REAL ESTATE NEWS | TUESDAY, FEBRUARY 20, 2018 If mortgage rate forecasts pan out, home buyers might see their mortgage

Read More

Feb 20 2018 20790 1

2 Ways to Get the Most Money from The Sale of Your Home Every homeowner wants to make sure they maximize their financial reward when selling their home. But how do you

Read More

How To Build The Perfect Home Gym

Working out doesn't have to be so much work. Ditching the gym membership for a home gym pays off in privacy, freedom, convenience, time efficiency, and cost! Here are 5 simple steps for building

Read More

Feb 19 2018 20198 1

Existing-home sales slowed in most of the country in December, but 2017 as a whole edged up 1.1 percent and was the best year for sales in 11 years. Read the full news.

Read More