Contrary to popular belief, there are pros to renting vs. home ownership. Proponents of renting value the flexibility it offers – especially for short term stays. Renting also ensures that unforeseen home repairs won’t derail your savings.
While most understand the long-term benefits of home ownership, it may feel out of reach due to massive cash down payments and the added expense of maintaining a home. Those who can’t qualify for financing due to a lack of savings, other debts, or poor credit simply have no other choice. Since renting does not provide the opportunity for generating wealth like home ownership does, many encourage renters to jump off the merry-go-round as quickly as they can. We take a more balanced approach. Before you renew your lease, ask these 5 questions to see if home ownership could be in your future.
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This article is the personal opinion of MT Realty Advisors, a Long & Foster team, and does not reflect the views of Long & Foster, it's ownership or affiliates. By now, most of us have read the mainstream headlines around the proposed settlement between the National Association of Realtors (NAR) and the Plaintiffs in the Sitzer Burnett case.
While opinion pieces abound, they tend to repeat a click-bait narrative almost as though they’ve been written with the same AI copy. “Realtor commissions are going away”, “Consumers stand to gain a windfall of savings”, and “real estate is forever changed”. The devil is in the details, and many of the articles arguably fall short of details. Anyone who knows our team’s approach to real estate – informed by my past career in hedge and private equity funds – knows we use data to shape our real estate outlook. Get the data, and let the data do the talking. Seems simple enough. Since analytics are noticeably absent from most opinion pieces, allow me to shed light on the recent turn of events using data while trepidatiously accepting the challenge of compressing this synopsis in a ten-minute read to accommodate our typical attention span. Start your clocks! This article will get to the heart of answering the very pointed and personal question we are all asking. “How does this news potentially impact my investment in the housing market?” At the end of this article, I’ll dive into some of my predictions you may or may not find a repetitious read. First, let me get into the story that no one is telling. It starts like this, “once upon a time…” If you are thinking of buying a home, the 2023 housing market promises to be especially challenging to navigate. Here are 3 reasons why, and how you should respond.
Interest rates affect real estate. What affects interest rates?
By now, we may all have heard so much "rate hike" talk that we are numb to it. But for real estate, interest rates are one key indicator of whether we will find ourselves in a sellers’ market or a buyers’ market. This week and next are going to be big for the rates market and for the spring real estate market. Here's why! It would be easiest to jump on the dooms day band wagon and predict a housing market crash. After all, no one criticizes pessimists when markets perform better than they predict. We aren’t as kind to those who overshoot with rosy predictions, though.
Yet the reality I see in the housing market - as the factors stand today – is promising. So allow me to put my head on the chopping block and suggest that the housing market may see a soft landing this next recession rather than the crash and burn we saw in 2008. A big reason why? Do you fear a 2008 housing crash is looming in the wake of high home values and wild appreciation trends nationwide? Are you asking “should I wait to buy”? A reasonable question since I don’t know anyone who wants to buy at the worst possible time!
Let me give some context to what actually happened in 2008 and the factors that make 2022 different. Its important to remove unfounded fears and misguided comparisons that can cost you poor real estate decisions. Likewise, it's important to understand your personal risk tolerance, financial situation and personal circumstances. So what exactly happened in 2008? |
MoreOwning real estate should be a journey of building & preserving wealth through the equity in your home or other properties. Our resources are designed to give current and would-be homeowners tips & trick to maintain, improve & shop for their greatest asset. Your search for value in real estate stops here. Archives
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