If you’re sitting on the fence as to whether or not you should become or remain a homeowner in Boston, this blog entry is for you! As your Boston Real Estate agent, I want you to know that all the signs and recent real estate news are saying that, if you are financially capable, now is the time to buy a home.
Market Improvements
According to a recent HousingWire.com article, The National Association of Realtors (NAR) predicts that by this time next year, the market will have improved. They say existing-home sales will have increased 4 to 5 percent, and new home sales will have increased even more.
Although mortgage credits have become tight and consumer confidence is low right now, NAR explains that because of population growth, employment levels and other factors, a pent-up demand will eventually cause buyers to gain confidence and purchase homes.
Homeownership vs. Renting
Another article, directly from NAR, laid out research on whether renting or owning a home is financially better in the long run. Turns out, owning a Boston home is!
The analysis was done over a 31-year period and across 23 metropolitan areas, taking into account the expenses that go into homeownership, such as taxes, insurance and maintenance, and the revenue received from it, such as appreciation and interest deductibility.
When compared to renters who use savings to pay their rent, 84 percent of buyers came out ahead. According to data from the Federal Reserve Board, a homeowner’s net worth is 45.9 percent more than a renter. So, although not everyone is in a financial capacity to buy a home, if you can do it, it’s a better financial move for long-term living or investing.
Homeownership Benefits
Still not convinced that owning a home in Boston is the right move? This Realty Times article states the benefits of homeownership in a very basic, easy to understand way. This includes:
Equity: Although some areas are experiencing low appreciation rates, as a long-term investment, the average appreciation of homes historically has been 4 to 6 percent a year. You’re getting money back, while as a renter, you never see that money again.
Relationships: Renters come and go as they please, so you don’t get the same chance to bond with your neighbors as you do in a neighborhood. It’s much easier to get to know each other and form lasting relationships when you share a sidewalk, amenities and long-term residencies.
Ownership: When you own your place of residence, it usually means that you can decorate it and upgrade it however you’d like! You can paint it, show off holiday décor, add a pool or a playground, put up a fence or anything else you prefer. Sure, you might have certain HOA rules, but it’s still more freedom than you’ll get as a renter.
The article continues with more perks, but all in all, the benefits of homeownership far outweigh the benefits of renting. Owning a home is known as the American dream, and with interest rates lower than ever, now is the perfect time to buy! Add in the predictions of a housing recovery and you are good to go.
If you have more questions or more concerns about the buying process, your finances, the Boston Real Estate market, interest rates or anything else on your mind, contact me. I’m your Boston Real Estate agent, always here to help you with your buying or selling needs in Boston!
Patti Fine
Phone: 617-642-7585
Email: pf@pattifine.com
Patti Fine Real Estate
Greater Boston Area Homes
Search Greater Boston Area Homes
According to a recent HousingWire.com article, The National Association of Realtors (NAR) predicts that by this time next year, the market will have improved. They say existing-home sales will have increased 4 to 5 percent, and new home sales will have increased even more.
Although mortgage credits have become tight and consumer confidence is low right now, NAR explains that because of population growth, employment levels and other factors, a pent-up demand will eventually cause buyers to gain confidence and purchase homes.
Homeownership vs. Renting
Another article, directly from NAR, laid out research on whether renting or owning a home is financially better in the long run. Turns out, owning a Boston home is!
The analysis was done over a 31-year period and across 23 metropolitan areas, taking into account the expenses that go into homeownership, such as taxes, insurance and maintenance, and the revenue received from it, such as appreciation and interest deductibility.
When compared to renters who use savings to pay their rent, 84 percent of buyers came out ahead. According to data from the Federal Reserve Board, a homeowner’s net worth is 45.9 percent more than a renter. So, although not everyone is in a financial capacity to buy a home, if you can do it, it’s a better financial move for long-term living or investing.
Homeownership Benefits
Still not convinced that owning a home in Boston is the right move? This Realty Times article states the benefits of homeownership in a very basic, easy to understand way. This includes:
Equity: Although some areas are experiencing low appreciation rates, as a long-term investment, the average appreciation of homes historically has been 4 to 6 percent a year. You’re getting money back, while as a renter, you never see that money again.
Relationships: Renters come and go as they please, so you don’t get the same chance to bond with your neighbors as you do in a neighborhood. It’s much easier to get to know each other and form lasting relationships when you share a sidewalk, amenities and long-term residencies.
Ownership: When you own your place of residence, it usually means that you can decorate it and upgrade it however you’d like! You can paint it, show off holiday décor, add a pool or a playground, put up a fence or anything else you prefer. Sure, you might have certain HOA rules, but it’s still more freedom than you’ll get as a renter.
The article continues with more perks, but all in all, the benefits of homeownership far outweigh the benefits of renting. Owning a home is known as the American dream, and with interest rates lower than ever, now is the perfect time to buy! Add in the predictions of a housing recovery and you are good to go.
If you have more questions or more concerns about the buying process, your finances, the Boston Real Estate market, interest rates or anything else on your mind, contact me. I’m your Boston Real Estate agent, always here to help you with your buying or selling needs in Boston!
Patti Fine
Phone: 617-642-7585
Email: pf@pattifine.com
Patti Fine Real Estate
Greater Boston Area Homes
Search Greater Boston Area Homes
No comments:
Post a Comment