Bobs Musings

For many individuals, couples, and families, buying a new house isn’t on their list. Many think it’s more expensive and out of their range. A new home could actually be the thing that saves you money.

One the prime examples of where a mortgage is almost always cheaper than rent, is when you live in a large city. Las Vegas, Los Angeles, New York City, and Dallas are a few of the major cities where you can buy a house for cheaper than you can rent. In these cities it isn’t uncommon for rent costs to rise to well over $1,000! That’s quite a chunk of change for struggling families.

Though, all hope isn’t lost. If you have a good credit score and the ability to get a cheap loan, then purchasing real estate is the easiest thing in the world. It takes a down payment of about 20% or more, but it’s well worth it in the end. This down payment will automatically take a big chunk out of what you owe, and it truly makes a difference. Your interest rates will also be considerably lower than if you had a lower down payment.

An even better alternative is buying real estate and renting it out. Many more people are purchasing a large home and renting one or two rooms. If you have an $800 mortgage, you can charge each tenant in your home $200 and end up paying significantly less overall each month. This isn’t recommended unless you know your potential tenants, but it’s a much better option than pouring money into rent each month yourself.

You also have the option to live how you choose to live. In many homes you must pay a deposit for most pets, or you can’t have any at all. This tacks on a huge sum each year that goes to nothing. With your own home you can have 3 cats and a dog if you like, all without the extra payments. It may seem silly now, but once you own your own property you will be grateful for that.

Now is the best time to buy real estate. Whether it’s a townhouse, apartment, the mansion of your dreams, or even land. These things are selling for rock bottom prices and companies are basically giving them away. There isn’t any reason why every American shouldn’t follow the American dream of owning a home. Right now tax credits for around $8,000 are also being offered to first time home buyers. This means you can either decorate your new home or put that towards your mortgage!

In Conclusion

The flexibility and cost of a new home is surprisingly lower in recent years. Now is the time to buy, and you can save quite a bit buying instead of renting each month! Make the change as soon as possible to prevent losing more money.

Learn more about distressed retail property broker and tenant representation.