Buying vs Renting – Home Purchase is Still a Better Choice
If you’ve been thinking you want to buy a home and are wondering what the pros and cons are, read on. We’ll sum up what you may want to consider when weighing the advantages of homeownership.
According to a recent article by CNNMoney.com, it’s still cheaper to buy a home than to rent if you live in a major city. For the most part, it depends on the area of the country where you’re looking to buy. If you live in Los Angeles or New York City, then it may not be cheaper to purchase a home. But if you live in any of the cities in the so-called Rust Belt, like Detroit, then the odds are in your favor that homeownership is the way to go.
For instance, cities in Texas are now all the rage because of their generally lower cost of living and thriving industries. Places like Dallas and Houston never really suffered from the big housing crisis a few years ago. Investing in a home is still a wise decision for most people in Texas. Good deals can be had in other popular Deep South cities as well, such as Birmingham, Alabama. Even hot real estate markets like Atlanta are still extremely affordable.
However, all is not lost if you live in other parts of the country. Nationwide, according to research done by Trulia, if you have been in the same home for the past seven years, you will have saved an average of 38% if you bought your home, and buying a home was 44% cheaper last year.
Not bad overall, right? So if home ownership seems like an expensive option, think again. Even with all the closing costs and fees, you’ll still come out ahead of renters. Still not convinced? Talk to one of our mortgage consultants, and we can help you see how homeownership may be the smarter choice.