Why should you buy a home? Well, it’s hard to say without knowing a few details about your individual situation, but the below list will seek to cover some of the best reasons one might decide to become a homeowner.
10. It’s yours.
Seems simple enough but think of the greater implications of that particular statement. If you want to paint zebra stripes on your wall, turn your garden shed into an Airbnb, or do laundry at 3 a.m., there will be no one to stop you. It’s your home. Your investment.
9. Personal Finance.
Most first-time homebuyers are astounded to learn just how little money is truly needed to get to the closing table. There are so many different programs, loans, and services to help first time buyers succeed in their goal of homeownership, without the need of the assets or equity that a seasoned buyer might have at their disposal. There’s also the cost of the monthly mortgage payment itself. Another shocking revelation for a lot of people is the fact that their mortgage payment is often comparable or even less than a month’s rent. Plus, you’ll have the benefit of a fixed rate, so you don’t have to worry about a large increase in your monthly payment. Yes, you might have to cut the grass and you’ll be on the hook for repairs but any work or improvements you do to the home are likely to work in your favor on a resell. When you rent, you’re essentially making someone else’s mortgage payment. This means you get neither the risk nor the reward of ownership.
8. Its investment potential.
We may have touched on this a little in the previous couple paragraphs, but it bears repeating: when you make improvements to a property you own, you’re setting yourself up for a bigger payout down the line if you choose to rent out or sell. Whether you’re buying your primary residence, a potential rental, or a flip, there’s a lot of opportunity to build equity and personal wealth.
7. The market is right for it.
There are simply times in history where buying is the absolute best decision you can make. Let’s look at interest rates for example. The average interest rate for a 30-year loan is hovering at around 7% right now. Yes, that’s higher than where things were this time last year. However, it’s still much lower than the historical high of just under 19%, in 1981. In the year 2000, they were at about 8.5%. Worst case scenario: pay your mortgage on time, build some equity, and carefully manage your consumer credit and you can always refinance for a lower percentage rate later on.
6. It’s the right time in your life.
If you’ve been thinking about buying a home for some time, it feels right, and you have the means and support to do so, why not? Your local trusted REALTOR can help you address any lingering questions and concerns you may have. Even if you’re not ready to say, “yes,” why not see what’s available? You have nothing to lose.
5. You need more space.
If you own your property, you won’t have to fight for a parking space or access to extra storage for items inconvenient to store in your unit like a bicycle, motorcycle, kayak, ladder, etc. Plus, if you’re marrying, taking a roommate, or expanding your family, you might need an extra bedroom or two. Find the home that best suits your needs while keeping your monthly expenses under budget.
4. It’s an experience.
While it may seem irresponsible to make such a large purchase purely for the experience of doing so, you can certainly learn a lot from homeownership. If you’ve always wanted to try your hand at drywalling, stone masonry, carpeting, minor electrical and plumbing, painting, flooring, roofing, decking, or landscaping, there’s a good chance you’ll be getting acquainted with a little bit of all of it in your first home! The good news? You learn some new skills or at least enough to patch things up while waiting for the professionals to do a proper fix. Of course, if you get really good at something you can save money with a little old- fashioned DIY. Owning a home almost certainly guarantees a unique and rewarding experience.
Maybe you’re just tired of moving or you really want to settle down in one place and build a stable life. You might be tempted to relate homeownership to an anchor, keeping you held in place, but what if you want to be held in place? If you like the neighborhood, you like the town, or you just adore the house and you can see yourself living there when you’re 25 and when you’re 85, maybe it’s time to commit to it. No one really knows what life has waiting around the corner and there are always refinancing or selling options. However, if all things go according to plan and you can’t stand the thought of toting your vinyl record collection up another set of stairs, there’s nothing wrong with settling down.
2. The available support.
There are a lot of great REALTORS and support tools out there to help you assess your homebuyer priorities. Sometimes, just speaking to the right person can be enough to help you make a decision one way or another. They’ll show you the ins and outs of homeownership and connect you with affiliates who provide services in financing, settlement, closing, and insurance. When you’re your own personal advocate, the process can feel tedious, daunting, even impossible. Getting that critical support might be all it takes to change your mind about everything.
1. The market is coming back, big time.
That’s right. Don’t let the unprecedented market fluctuations that have defined the post-Covid era deter you from achieving your goal of homeownership. It’s not 2021 anymore. Buyers began to hesitate as homes entered and left the market in hours with offers well above asking price. What we’re seeing now is a market correction of sorts. Homebuyers are much more likely to have successful bids. If projections hold true, the market is going to take off toward the end of the year. Why wait until then when competition is up again? If you’ve been thinking about making a move, the board is all yours.