To rent or to buy is an old question with varied answers. The answer depends on your ability to come up with a down payment, your ability to commit to a specific area, your creditworthiness, and much more. Those are questions for each individual to answer, but there is interesting math related to how much rent costs that should be reviewed in helping you determine your answer.
Blog Category: time to buy
Isn’t it always a good time to buy real estate? There are hardly any Realtors, builders or other industry participants who have ever said it is NOT a good time to buy real estate. There are some very good Realtors and builders, I know many, but let’s not forget these people are ultimately salespeople, not investment analysts equipped with the tools to know the real value and direction of real estate. You hire a Realtor to help you buy and sell real estate, but you should make your own determination as to when is the best time to do so. So that means you are left to your own devices as to determining if real estate is a good investment.
We have to discern if we are talking about buying a primary residence or investment property. Since buying investment property is a simple cash flow numbers analysis, I’ll restrict this blog post to buying a primary residence. And when buying a primary residence your first concern should not be if it is a good ‘investment’. You should not go into it looking for investment returns. It is a home, shelter, a place to live, sleep, entertain, raise a family, and enjoy the community and neighbors. But you do want to make a careful decision and get the best possible financial gain from your home that you can.