I originally wrote this blog post back in 2011, and while our inventory has plummeted to almost nothing, buying vs renting remains the better option for qualified people. If down payment is a concern, there are down payment assistance programs, to eliminate that barrier to homeownership. First time homebuyers are the bulk of my business. Nothing better than helping them fulfill the dream of homeownership, and with rents so high today, sometimes they’ll pay less for their mortgage than they pay for rent.
Recently while sitting at a new construction condo site, I had a buyer come through that was just out for a Sunday stroll. He decided to stop in just to have a look around. He wasn’t “really” looking to make a home purchase, just curious he said.
After asking a few basic questions, we set out to view our models and I asked him what he was paying for rent. He told me $1400 per month, to which I replied, “Did you know you could own this condo and get the benefits of being a homeowner and have something to call your own, for less than you are paying in rent each month?”
At first he did not believe me, so after viewing our second model we went back to the office and I called my preferred lender. We worked up three different scenarios and Mr. Renter became Mr. Buyer!
It is true, with so much inventory and historically low interest rates, now more than ever, if you can afford to buy real estate you should!!
So before you sign another lease for 12 months, ask yourself….Buy vs Rent. You might be surprised by the answers you find!