Buying is better than Renting in Portland, Oregon.
By Wayne B. Pruner
http://www.yourhomeinportlandoregon.com/
Wayne's Portland Oregon area Real Estate blog
www.activerain.com/waynepruner
Buying your own home is one of the smartest financial decisions you will ever make. It is the foundation of building personal wealth. For an individual or a family, a home is generally the most significant asset owned and serves as the primary wealth-building vehicle. Home ownership builds wealth in many ways.
First off, you have to pay to live somewhere. The rent you are paying is building someone else's wealth, not your's. This is wasted money that is providing you no benefit. Put this money to use so it is benefiting you and your family. You can pass your home down to your children, and their children, and create security for generations.
There are tax benefits for owning your own home. Being able to deduct mortgage interest, closing costs, and property taxes, reduces your taxable income. These tax savings reduce the actual cost of owning a home.
Owning your own home gets appreciation working for you. This is the major benefit of owning a home. Appreciation is the annual rate an asset increases in value. Portland Oregon has stronger appreciation rate than most of the country because of the Urban Growth Boundary. Basically it is a legal separation between urban land and rural land. Land inside the UGB becomes more expensive. The UGB is a major reason why our real estate prices have remained strong. Example: At a modest 4% appreciation rate a $275,000. house after the first year would be worth $286,000. After the second year $297,400. After the third year $309,296. This is a very powerful way to increase personal wealth.
Home ownership is often characterized as the "American Dream." Home ownership has significant social and economic advantages for individuals and our communities. For communities, studies have shown that higher levels of home ownership stabilizes neighborhoods, reduces crime, increases civic participation, and improves local school performance.
To compare the costs of renting to buying, this is one of the best calculators I have found to do the comparison.
Wayne B. Pruner is a Realtor® in the Portland, Oregon area. He is ready to help you with all your real estate needs. His phone number is, 503-891-0795.
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