Rent or buy?

There has been a lot of noise in the media about the wisdom in either buying or renting a home.  Most of the discussion has been limited to the economics associated with one over the other.  My opinion is that there are some things that you can't stick into a spreadsheet, and they are probably the most important components of a rent/buy decision.

If mobility is a high priority, you have no choice.  You must rent or lose lots of dollars.  If you chase dollars around the world and seldom live in the same place for more than a year or two, don't buy.  You won't have time to establish the roots that are part of the advantage of home ownership.

If you can afford to buy and if you are able to plan on staying a while, you should probably start looking now.  Prices are close to stabilizing, and interest rates are not going much lower.  Home ownership brings some important items to life's table.  The idea that you are not subject to the demands of a tyrannical landlord is somewhere near the top of the list.  Buy a home and you can have a Golden Retriever if you want.  You can decorate any way you choose.  You can enjoy a few tax benefits and the security of knowing that nobody will raise your rent next year, or ever. 

One more thing, according to Trulia, Minneapolis is the best city in the US to buy vs. rent.  Minneapolis prices did not run up as much as many other cities.  The downturn didn't seem to take that into account, as prices have dropped significantly. 

If you're planning on making a buying decision sometime before next June, now is the time to begin the preliminary planning.  Call for a free no obligation buyer orientation and market update. We cover a lot of ground, financial preparation, market conditions, what to expect regarding paperwork, risks and rewards of foreclosure homes, and a pile of other stuff.  Again, it's free, and there is no obligation, honest!  If you would be interested in spending some time learning about real estate, just call me.