10 Reasons to BUY instead of RENT!
Renters are considering taking the plunge with rents going up and interest rates at an all time low.
Home buying has earned an ill fortune in recent years: many homeowners were left underwater because of the subprime mortgage crisis and ensuing economic meltdown, unable to pay, facing foreclosure. According to The Census Bureau, homeownership rates fell and are currently around 66% compared with 70% in 2004.
The great American dream appears poised for a comeback. Rents are rising while interest rates are falling making buying a home in Asheville more affordable.
Consider these 10 reasons to take a plunge into ownership:
1. Boost up energy conservation
You can reduce your monthly utility bill by effective energy savings tips, from adding insulation to upgrading your air conditioning unit, says Jane Hodges, author of the new book Rent Vs. Own. While renters makes plenty of green improvements, homeowners can make considerable changes by installing solar panels and an energy-efficient roof.
2. Design your space with your Art-Deco taste
You can personalize any room, knock down some walls to make larger rooms or redo the living room with your own style. When you own the place, you always have the freedom to build, change and customize what’s inside your home. Get that “Keep Asheville Weird” style everyone is looking for!
3. Less furniture expenses
Usually when renting, you need to choose furniture that matches the space. While moving, a lot of times, they end up changing and buying new furniture to fit their new rental. But, if you settle in a new permanent home, you can purchase pieces that will last a lifetime.
4. Saving is a must to own a home
Argument in the so-called “forced savings” is a widely -held one:
Instead of wasting your money on new shoes and expensive meals, they routinely have to put away their money for the house they own.
5. Building a second income flow when owning a home
Homeowners can increasingly find ways to monetize their homes. In cities with insufficient green space, some homeowners let other people sublease small patches of grass to grow vegetables. You can AirBNB a room in your home, or even the entire basement. It could even pay your entire mortgage! (See our sister company at “AvlBNB” – Western North Carolina Short Term Rental Management)
6. No proprietor can kick you out
Renters can face an eviction notice unexpectedly if the landlord suddenly sells the home, someone else rents the home, or the lease ends. Laurence Katlikoff says, “It’s important for older people to be in a home that they own as security against landlord”.
7. No talking to landlords
You’re in-charge if you’re the homeowner! That means you have to be home when the plumber calls. No need to report to the landlord who most of the time takes can take ages to fix a broken dishwasher, for instance.
8. A Fixed Mortgage can’t go up
Even if the cost of everything else goes up, a fixed mortgage won’t. “Mortgage rates haven’t been this low since GIs were heading home from France. Lock in a low monthly payment, and you’ve just taken a huge step in protecting your family against inflation.” Jack Otter, author of Worth It… Not Worth It?
9. Take tax deductions
Deductions at eligible expenses. (Example energy-efficient improvements) and some federal taxes can be avoided on earning from the sale of home.
10. Taking advantage of low interest rates and prices
Buying isn’t for everyone. Renting can be ideal if you might move soon, or move a lot. Transaction costs in the purchase of a new home in Asheville may be considerable. But with Mortgage Rates as low as they are right now… you’d be hard pressed not to find a good deal in the Asheville, Weaverville, or Hendersonville North Carolina area.
