...still thinking about renting vs. buying ?

...the ever returning question: shall I buy or continue to rent.... 

I am sure we all have considered the advantages of renting or owning a home. A mortgage can certainly be an uncomfortable obligation for a very long time, maybe 30 years. But rent payments, well, they are also always an obligation and a rent payment may go up or the landlord is a slum lord and will not make any repairs or improvements, or he will not renew the lease and so, one can be on the move every year, packing up all belongings, and having expenses related to moving.  In any event, one has to pay to have a roof over once head, and its either your own mortgage payment or you make your landlords mortgage payment with your rent money. 

As The Joint Center for Housing Studies at Harvard University explains:

“Households must consume housing whether they own or rent. Not even accounting for more favorable tax treatment of owning, homeowners pay debt service to pay down their own principal while households that rent pay down the principal of a landlord plus a rate of return.  

That’s yet another reason owning often does—as Americans intuit—end up making more financial sense than renting.”

An executive at  Freddie Mac, explains another benefit of securing a mortgage vs. paying rent:

“With a 30-year fixed rate mortgage, you’ll have the certainty & stability of knowing what your mortgage payment will be for the next 30 years – unlike rents which will continue to rise over the next three decades.”

As an owner, your mortgage payment is a form of ‘forced savings’ which allows you to have equity in your home that you can tap into later in life. As a renter, you guarantee the landlord is the person with that equity.

Interest rates are still at historic lows, making it one of the best times to secure a mortgage and make a move into your dream home. Freddie Mac’s latest report shows that rates across the country were 3.43% last week.

Bottom Line

Whether you are looking for a primary residence for the first time or are considering a vacation home on the shore, now may be the time to buy. Let us talk about it.  

This is Ute Appleby, realtor and relocation specialist with more than 8 years of experience and long time resident of the Charleston area. Contact me at  843.345.2625 or seach for all Charleston and Charleston area properties at www.DefinitelyCharleston.com