Owning Versus Renting: Which is More Affordable

Have you been thinking about buying a home, but the rising home prices and lack of homes available scare you? Here is something to think about: per ATTOM DATA, owning a home is more affordable than renting in the majority of the country.  Research shows that owning a median-priced home is more affordable than the average rent on a three-bedroom property in the majority of the U.S. counties analyzed for the report.  What this means is, that the expenses you will incur as a homeowner will likely use a smaller portion of average wages than renting a home will. In addition, rent prices have been rising like wild-fire with the fastest year-over-year growth in over 16 years.

So, how does this affect you?

Yes…mortgage rates may be rising, but they are still at an all-time low! On the other hand, monthly rents are skyrocketing! When you rent, the higher cost brings you no return, while padding the pockets of your landlord. But when you purchase a home, your monthly payments are an investment for YOU and YOUR FUTURE. Think of your mortgage payments as kind of a “forced savings”. As you pay down your mortgage loan, and as the value of your home rises, you will be building equity. In addition, once you lock in your monthly payment, it will remain for the duration of your loan, meaning you don’t have to worry about the monthly expense rising. And wait, there’s more!  There are tax benefits to owning a home as well. For example, you may be able to take a Mortgage Interest Tax Deduction, get a tax break for paying property taxes and even possibly deduct home office expenses!

Finally, pride in ownership is a huge reason that owning a home is better than renting. Not only are you investing in your future by becoming a home owner, but you are creating a living space of your own…making choices and changes as you see fit. Yes, sometimes the cost of home maintenance/repairs can seem daunting, but at the end of the day that money is going into YOUR investment!

The question is: Why rent when buying is less expensive and offers so many benefits?

If you are trying to decide whether or not to pursue home ownership, this is the question you have to ask yourself! The thought of buying your first home can feel overwhelming, but having an experienced, professional Realtor like Desi Sowers on your side will give you the confidence to move forward so you can start enjoying the benefits of home ownership!

Are you thinking of buying a home or selling your current home in New River Valley, VA? Then it is time to contact Desi Sowers, your New River Valley, VA real estate resource! Give her a call today at 540-320-1328!

Photo credits: m.economictimes.com, thebalance.com, listenmoneymatters.com, homes.com

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