With mortgage interest rates and home prices being so low, it is more affordable now than in the past 15 years to own a home. In many cities it is less expensive than renting, according to the Wall-Street Journal’s third-quarter 2011survey. If you are thinking about buying rather than renting you need to do your research, compare the pros and cons, and decide if it is affordable and practical for you.
Some issues that many face are being unable to sell their current home, unable to qualify for a mortgage because of the new stricter guidelines, and even keeping a steady job. These people are most often forced to stay put or continue to rent. Apartment and home rentals are expected to rise and they have been continually rising in certain areas of the country. This makes owning a home more attractive to renters.
There are some items to take into consideration when buying a home that you will not have to do if you are renting such as: paying property taxes and special assessments, purchasing homeowner insurance, paying for maintenance, paying homeowner association fees (if applicable), and/or paying a membership or recreation fee in a community. Some advantages to renting are you may get more space for your money, you have more flexibility, you don’t have to pay for repairs, and there is minimum risk.
In most instances it is better to buy a home than rent. Your mortgage payment is pretty stable other than homeowner insurance or property tax changes, you can deduct your mortgage interest and property taxes on your federal income taxes, you have pride of ownership, you eventually build equity in your home, no landlords to deal with, and you can remodel, paint or redecorate any way you choose.
If you are thinking about buying rather than renting you need to do your research, compare the pros and cons, and decide if it is an affordable and practical choice for you. If you are thinking of buying a home in Florida, there are a lot of affordable properties in North Port, Port Charlotte, Punta Gorda, Cape Coral and Ft. Myers. Whether you are a first time buyer, repeat buyer, second home buyer, snowbird or other, there are options for everyone.
Here is a web link to a calculator to compare the advantages and disadvantages of renting vs. owning. http://www.ginniemae.gov/rent_vs_buy/rent_vs_buy_calc.asp?Section=YPTH