Why Rent when You can Buy–EVEN CHEAPER?!
Which would you think is the most affordable way to go with regards to your home needs in Charlotte NC? Well, with interest rates at an all-time low (that’s no joke either!) and home prices at rock bottom, a home purchase is cheaper than rent is right now! Because of the multitude of homeowners losing their homes for foreclosures and short sales, there are far more renters now than ever before. Landlords KNOW this and you’d better believe, they’re capitalizing on this! They know that tenants can’t qualify for mortgages so, they’ve got them over a barrel, quite frankly.
There are many renters out there that are just waiting to lose their Charlotte landlord–and with EXCELLENT credit! If you’ve been renting for quite some time and have your credit in order, you couldn’t select a better time to buy a home than now.
Rent or Buy a Charlotte Condo or Single Family Home
With the current economy, it may seem like a better idea to rent a Charlotte condo instead of buying one. Let’s explore some of reasons why it’s still better to buy rather than rent.
Throwing Money Away
When you rent that’s basically what you’re doing. You give your money away in exchange for a ‘perishable’ item—one month of living space. Once that month is over, the money is gone and you didn’t get anything of long term value in return. When you buy a Charlotte home, you still spend money for a month of living space, but in addition, you’re building long term equity. It may take longer and property may not increase in value as quickly as it did in the past, at least for now, but the money you spend becomes a back end asset instead of just disappearing.
Tax Breaks
When you buy a home, you can deduct the interest and property taxes that you pay every year on your income taxes. That can be a sizeable amount of money. Before you buy, and because I’m not a CPA, consult your own CPA to confirm this information–you’ll be surprised at the advantages of homeownership with regards to your Federal and State taxes each year.
Saving Money
Yes, you actually end up saving money in the long run if you buy a home rather than rent. In fact, over a 16-year period you can save as much as $5,000.00 by owning your own home. The bottom line is that the housing market troubles have nothing to do with the evils’ of homeownership. They have to do with bad government and lending practices, and the consumer wanting more than they can afford therefore biting off more than they can chew.
Choose your Charlotte home wisely, only buy what you can afford to pay for each month, and pay careful attention to the loan you are being offered. If you need any advice on the best types of loans, lenders and homes available, I’d like to help. Call me today at (704)491-3310 or email me at Broker@TheCharlotteScoop.com.