5 Great Reasons Why Owning A Home Is A Good Financial Investment

Dated: 12/06/2016

Views: 67

5 Reasons Why Homeownership Is a Good Financial Investment | Keeping Current MattersAccording to a recent report by Trulia, “buying is cheaper than renting in 100 of the largest metro areas by an average of 37.7%.” That may have some thinking about buying a home instead of signing another lease extension, but does that make sense from a financial perspective?

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.”

The report 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 renter.

Want to Advertise on this Site?

Latest Blog Posts

Taking Advantage Of Homebuying Affordability In Todays Market

Everyone is ready to buy a home at a different time in their lives, and a health crisis or not, today is no exception. Understanding how affordability works and the main market factors that impact

Read More

Serious Homebuyers Are Active During Pandemic NAR Flash Survey Shows

Many fear a stalled market due to the spread of COVID-19. However, according to the newest Economic Pulse Flash Survey from the National Association of REALTORS® (NAR), buyers are out

Read More

Using Your Tax Refund To Buy A Home In 2020

If you’re looking to buy a home in 2020, have you thought about putting your tax refund toward a down payment? Homeownership may be one step closer than you think if you spend your dollars wisely

Read More