I had a client who finally purchased a property about 6 months ago after competing in so many multiple offer scenarios. He was calm, cool, collected and calculated as we moved through the process. When we were halfway through escrow, we talked a little bit about the market and his level of comfort moving forward. His level of confidence came from wanting to control his costs.
Despite being a realtor for nearly a decade now, that was not a thought process that had crossed my mind. However, when he mentioned it I thought of course that's a great idea in addition to taking control over your own destiny. You don't have landlord that will increase your rent year over year for the same place. Or the other alternative, an absentee landlord who can't be bothered to care for their asset. You also aren't left in a position where maybe your landlord sells your home and you're displaced and forced to move. Of course there is a cost that you incur as a result of moving, but you're probably paying more in rent too because there is typically a lag between rent increases versus what is newly available for rent.
On the other hand, ownership empowers your stability and controls your costs. Worst case scenario, your property taxes go up on average 2% year over year. Maybe you have HOA costs that go up, but there are far fewer significant changes than there are when you rent. The bottom line is that as an owner, you're in far greater control of your destiny and your costs versus when you're a renter.
No comments:
Post a Comment