Fact or Fiction: It costs more to buy than to rent your home. Well that may very well depend on where you live more then anything else.
Just today, Trulia released its latest Rent vs. Buy study, showing that in 98 percent of American cities, it's actually less expensive to buy a home than it is to rent! Of course, the type of home you might want to buy could be more pricy than what you’d be satisfied living in as a rental, and buying a home requires an upfront chunk of dough (i.e., down payment and closing costs) that renters don’t have to come up with.
But the age-old would-be buyer objection that “I can’t afford to buy a home” is now frequently shattered by the reality that when you take all things into account, buying a home at today’s prices and interest rates can actually cost the same or less than renting at today’s relatively high rental costs in many areas.
That said, if you live in San Francisco or New York City, chances are good that it does actually cost more to buy than to rent. But if you live elsewhere, it behooves you to actually do the math, factor in the massive tax advantages of homeownership and see which is truly more expensive for you. And make sure your decision accounts for the massive opportunity costs you might incur if you don’t take advantage of today’s prices and rates to buy a home of your own and start building equity - something you can simply never do as a tenant.
Author:Jim Mazzerina Phone: 609-618-7683 Dated: May 18th 2012 Views: 2,827 About Jim: ABR, E-Pro, SRES
Jim is originally from north jersey - the Totowa-Little Falls-Paterson area. He...
View our latest blog posts in your RSS reader. Click here to access.
3 Convenient Locations to help you with Southern Ocean County Real Estate and more! Since 1946 the Van Dyk Group has guided over 20,000 families, individuals and commercial businesses in fulfilling their real estate needs. Nowhere else will you find a more experienced team of Realtors!
Van Dyk Realtors maintain the area's largest market share of properties sold. The Van Dyk Group is a full service company and offers a number of services from relocation information and mortgage programs to insurance and financial services that will enable your buying or selling decision to be an enjoyable one.
If you are debating listing your house for sale this year or even ear
"Frank Tenner was great during the entire process even when we were having issues with the mortgage company and sellers. He was truly a Realtor, adviser and therapist all in one. He went above and beyond in every way. We have a few friends that will be looking this next year and have given his card to all of them and said he was the best."