More info on the housing market (click HERE for the article).
While I understand the comment from an economics standpoint I totally disagree with the 'concept' that existing-home sales don't contribute to the GDP. There is a HUGE ripple effect from the purchase/sale of a home--Sellers (hopefully) got paid and now can purchase another home or more 'stuff' (or pay down debt so they can get more 'stuff') and Buyers need to make that home 'theirs' (Home Depot/Lowes, here they come! Ditto for furniture, electronics, etc.). Regardless, good info!
Thursday, November 20, 2014
Wednesday, September 10, 2014
Buying vs. Renting--in a word: Wealth!
Click HERE for a great article as to why homeowners are in general more well off than renters. Food for thought! Bo
Friday, May 9, 2014
Renting vs. Owning--a quick commentary
I was reviewing a contract for a gentleman purchasing an in-town townhome in the $300's; his mortgage was going to be about $1700 with Dekalb taxes and it seemed like a killer deal. While he will probably pay some monthly HOA dues, I know that there are older homes in our area (Brookhaven) that can be purchased in this price point that would NOT require HOA dues. What is the point of this commentary? He moved out of an upscale apartment complex because his monthly rent on a 2 Bedroom/2 Bath apartment with less than 1300 square feet was going to be $1625 per month! OUCH!
I am just using this example to give you pause to think about why you're renting (if you are...). If you pay rent, it goes to the landlord. If you pay your own mortgage, your asset is (hopefully!) appreciating and your balance is dropping. If you do your homework, you can find something much larger than 1300 square feet for a lower monthly cost. Yes, you may have more to upkeep but the tax benefits alone may make it worth it! Regardless, I continue to be blown away by renters who pay such high amounts when financing is so inexpensive!
With that being said, move quickly! Rates are still low; inventory is still tight. BUT rates WILL go up and there will always be houses out there--you just have to dig!
I am just using this example to give you pause to think about why you're renting (if you are...). If you pay rent, it goes to the landlord. If you pay your own mortgage, your asset is (hopefully!) appreciating and your balance is dropping. If you do your homework, you can find something much larger than 1300 square feet for a lower monthly cost. Yes, you may have more to upkeep but the tax benefits alone may make it worth it! Regardless, I continue to be blown away by renters who pay such high amounts when financing is so inexpensive!
With that being said, move quickly! Rates are still low; inventory is still tight. BUT rates WILL go up and there will always be houses out there--you just have to dig!
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