Rents right now are on the rise. It’s time to get out of the rental trap and take steps toward long-term wealth.
Buying a home? Click here to perform a full home search Selling a home? Click here for a FREE Home Price Evaluation
Right now, rents are on the rise. People here on the North Shore are seeing just how hard it has been lately.
That said, I don’t want you to get caught up in the rental trap. Rents are up 2.7% nationally and over a quarter of renters are spending half their income on rent. Renters also aren’t earning any equity for the money they’re paying toward their housing situation, and renting lacks the tax benefits of homeownership.
These days, it is actually cheaper to buy than to rent. This is partially due to the fact that homeowners have the benefit of mortgage interest deductions on their taxes.
Still, many people find themselves uncertain of how to transition from renting into homeownership. A recent survey found that while 80% of millennials plan to purchase a home, 72% had no concept of when they would do so.
“
You can never gain long-term wealth if you’re caught in the rental trap.
”A large portion of people who would like to own a home feel they lack the funds to do so, due to the false belief that you must save 20% for a down payment. In actuality, there are options for buyers to get into a home for just 3% or 3.5% down. For veterans, there are even financing options that require no money down at all.
The bottom line is that you can never gain long-term wealth if you’re caught in the rental trap. While buying a home isn’t always the right option, it isn’t an out-of-reach alternative to renting.
If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.