Why Buying a Home Today Makes More Financial Sense Than Renting - Expert Real Estate Insights

As a real estate agent, I get asked all the time whether it's better to rent or buy a home. And let me tell you, with the way things are going in the housing market, buying a home is definitely the way to go!

Have you seen the rental prices lately? They just keep going up and up. According to the latest data, rental affordability has been a challenge for years, with rents steadily increasing since 1988. And even now, during the pandemic recovery, rents are still on the rise. But guess what? With a fixed-rate mortgage, you can lock in your monthly payment for the duration of your loan, typically 15-30 years.

And that's not all. If you're in need of more space, owning a home is actually more affordable than renting, especially if you need two or more bedrooms. Don't believe me? Check out the graph below. It compares the median rental payment to the median mortgage payment, and as you can see, owning is the way to go if you need that extra space.

But wait, there's more! Homeownership also allows you to start building your own equity, which in turn grows your net worth. As home values typically rise over time and you pay off your mortgage, you build equity. That equity can set you up for success later on because you can use it to help fuel a move to an even bigger space down the line.

So, if you're on the fence about renting versus buying, let's connect and explore your options. With rents rising, buying a home may make more sense for your financial future. Don't wait, start building your own equity and invest in your future. Contact us today to learn more about your options and make your dream of homeownership a reality.

Data and insights provided by the KCM Blog