There are many young people debating whether they should renew the lease on their apartment or sign a contract to purchase their first home.
Housing Cost & Net Worth
Whether you rent or buy, you have a monthly housing cost.
As a buyer, you are paying YOUR mortgage.
Every mortgage payment is a form of what Harvard University’s Joint Center for Housing Studies calls “forced savings.”
“Since many people have trouble saving and have to make a housing payment one way or the other, owning a home can overcome people’s tendency to defer savings to another day.”
The principal portion of your mortgage payment helps build your net worth through building the equity you have in your home.
As a renter, you are paying YOUR LANDLORD’S mortgage.
Below is an example of the home equity that would be accrued over the course of the next four years if you were to buy a home by the end of this year; based on the results of the Home Price Expectation Survey.
In this example, simply by paying your mortgage, you have just increased your net worth by over $34,000!
Use your monthly housing cost to your advantage! Meet with a local real estate professional who can explain the opportunities available in your market.
Great advice – don’t always go for white paint – gray is softer and easier on the eyes.
Hint: Kitchens sell homes! Read the rest of the article at this link:
When your home really IS a work of art.
You will find some great ideas in this link to make your home cheerful. Light, light and more light is always a “home” pleaser and makes you feel happy. Check it out and let me know your thoughts.