Discerning Which Option Is Best For You
If you are a renter with the end of your lease term approaching, you may have been pondering whether to stay in the rental game or make the switch to becoming a homeowner this year. This decision is one of the biggest you will ever make, and is not an easy one. To help you discern whether you should rent or buy this year, ask yourself these questions.
- What Am I Looking For? Understanding what you value most in your housing situation will help you understand whether being a renter or homeowner works best for you. For example, if you are looking for long-term financial stability in a house, in which you can lock in fixed monthly mortgage payments, it will protect you from rent increases, offer tax incentives, and help you build equity. A rental offers increased mobility and flexibility and protects you from having to pay repair and maintenance costs.
- What Is Your Financial Situation? Are you in a position to be able to consistently pay your monthly mortgage payment? If so, you are in a financially sound place to buy a home. With mortgage programs requiring just three percent down beginning in December 2014, you no longer need to spend months or years saving for a down payment before you begin your home buying process.
- When Do You Plan To Move? If you are not expecting to stay in your current city for more than a couple of years, you may want to continue to rent. If you have five or more years ahead, your return on investment should make buying a home worthwhile financially.
Are you unsure whether you should rent or buy this year? Or are you committed to buying but unsure how to begin the process? For either quandary, contact Andraya Coulter for all of your Bay Area home buying needs. As a home lending expert in Northern California, I am here to help guide you through the mortgage process. Call me today!