Renting a home isn’t that different from owning.
If you are renting a house, you may already feel like a homeowner by making routine repairs, gardening, or cleaning the gutters. There is one fundamental difference.
Unlike equity built with each monthly mortgage payment, the rent you are paying is producing zero future financial benefit. In fact you are essentially paying the landlord’s mortgage and likely additional utility costs. Since historically, most homes may increase in value over the long term, a home provides not only a place to live but may also provide return on your original investment.
Stay tuned for Part 4.
Feel free to contact us in the form below if you have any questions or comments or are interested in purchasing a home in Tampa Bay:
The tax benefits derived from purchasing a home take too long to offset other costs involved.
Tax write-offs of mortgage interest can be among the biggest financial benefits of home ownership. But some question whether this benefit is really great enough to offset the “big picture” cost of ownership. Homes typically appreciate in value over time. That is why you may want to evaluate carefully how long you expect to stay in your new home. If you acnticipate staying for several years, the scales should tip in your favor and the value of your financial gain from home ownership is likely to outweight those initial costs to get in the door.
Stay tuned for Part 3.
Feel free to contact us in the form below if you have any questions or comments or are interested in purchasing a home in Tampa Bay:
Renting versus Buying In Tampa Bay Florida
With decreasing U.S. home prices, this question is no doubt running through the minds of many. The decision to rent an apartment, condo, or house, as opposed to buying, is complex and one that should be taken into great consideration.
There are many misconceptions when weighing the option to rent or buy. One of the biggest may be the notion that renting is simpler. When the refrigerator is a rental needs to be repaired, it is usually the landlord’s responsibility but when new homeowners buy a home the responsibility is theirs. Stating that renting is the “simpler” choice takes a narrow view on the issues that go into the buy-versus-rent decision.
In our four-part series we will post a few others.
Stay tuned for Part 2.
Feel free to contact us in the form below if you have any questions or comments or are interested in purchasing a home in Tampa Bay:
Whenever reading economic forecasts it’s a good idea to look at its source. In the latest news Associated Press’ business writer Mae Anderson claims that more than 80 percent of economists believe the recession is over and an expansion has begun, but they expect the recovery will be slow as worries over unemployment and high federal debt persist.
The housing recovery is seen as one bright spot. Forecasters expect 2010 to be the first year since 2005 that the housing sector will contribute to overall growth. Home prices are expected to rise 2 percent in 2010 but panelists do not believe that will stifle the housing recovery.
They expect home prices to rise 2 percent next year? We shall see how this forecast pans out.
Comments (0) 
