Time to buy a home?
10 Reasons To Buy a Home
Excerpts:
- You can get a good deal
- Mortgages are cheap
- You'll save on taxes
- It'll be yours
- You'll get a better home. In many parts of the country it can be really hard to find a good rental
- It offers some inflation protection
- It's risk capital. No, your home isn't the stock market and you shouldn't view it as the way to get rich. But if the economy does surprise us all and start booming, sooner or later real estate prices will head up again, too.
- It's forced savings. If you can rent an apartment for $2,000 month instead of buying one for $2,400 a month, renting may make sense. But will you save that $400 for your future?
- There is a lot to choose from
- Sooner or later, the market will clear. Demand and supply will meet.
Comments: I question the validity of # 6 and 7. # 8 is a wrong reason to buy. # 10 may be later rather than sooner. My advice, if you can project staying in that home for at least 7 years consider it.
Hey JP, I have heard from a few friends that people are saying there might be another dive in the home market, have you heard this? It would not surprise me, if it is true. I have been looking at a number of homes, and they are over priced here. I took a look at one home, and one entire corner of it was 'sinking' and they were still asking 160k. It was in New Hope, and even if it wasn't sinking, I don't think it would have been worth 160k. (maybe 70-80k)
ReplyDeleteDan,
ReplyDeleteI really don't know. Another big dive? My guess is not. Look to stable neighborhoods where yards are well maintained and houses kept up.
I like New Hope, Golden Valley, Robbinsdale, and Crystal and St Louis Park
I am leery of the condo market in general.
I think you basically have to do rent / buy analysis. Here's one from the NYTimes.
As a young couple you need to plan out as to how much house you will need 7-10+ years out
One more reason to buy a home it always feel good to be owner of a home as you don't have to face the restrictions and rules of the owner when you have your own home instead of living on rent
ReplyDelete"Home sweet home" becomes more sweeter when its yours..........
ReplyDelete