Highlands Ranch Real Estate : 5 Great Things About Homeownership
Realty Times printed an article, written by Carla Hill, that we really liked wanted to share it with you. We had a few comments that you will find throughout the article as well.
If you decide that now is the right time for you to explore homeownership, call Carrie and Kathy, SampronSisters of Home Real Estate, at (303) 931-3629 and we'll be happy to help you begin your journey and realize your dreams.
Five Great Things About Homeownership
If you've been on the fence about homeownership, now is the time to take the leap! Don't let the negative press deter you from one of life's greatest joys.
Take a look at five short and sweet reasons that homeownership is great!
1. Equity: When you pay rent, you never see that money again. It is lining the landlord's pocket. Yes, buying a home may
come with some hefty initial costs (down payment, closing costs, inspections), but you will make the money back over time in equity built in the home. Historically, homes appreciate by 4 to 6 percent a year. Some areas are still experiencing normal appreciation rates. For the areas that have seen harder times since the recession, experts feel that the housing market will recover. Homeownership is about building long-term wealth. A home bought for $10,000 in 1960 is most likely worth 10 times that in today's market. (Also, keep in mind that in this market we are often seeing the seller assist the buyer by paying 1, 2, or even 3% or more of their closing costs which helps offset those initial costs.)
2. Relationships: Renters tend to see their neighbors come and go quickly. Some people sign year leases while others are in the community for much shorter terms. Apartment complexes also tend to have less common shared space for people to meet, greet and socialize. Homeowners, however, have yards, walking trails, or community pools and clubhouses where they can get to know each other. Neighbors stay put much longer (at least three to five years if they hope to recoup their closing costs). This means more time to develop relationships. Research has shown that people with healthy relationships have more happiness and less stress. (Highlands Ranch is one of these communities. With the recreation centers and pools included as part of the yearly association fee, there are so many opportunities to get together with your neighbors. Not to mention the many events the Community Association puts on throughout the year, i.e. Yoga in the Park, the Summer Movie and Concert Series and more, the opportunities to get out and meet your neighbors is endless.)
3. Predictability: Well, as long as you have a fixed-rate term on your mortgage it's predictable. Most people buying homes today know that a fixed-rate is the way to go. This means your payment amount is fixed for the life of the term. If your mortgage payment is $500 today, then it will still be $500 a month in 10 years. This allows for people to budget and make solid financial plans. The sub-prime crisis meant many homeowners with adjustable rate mortgages saw their monthly payments rise and then rise some more. Homeownership, though, generally comes with a predictable table of expenditures. Even the big purchases are predictable. You know most roofs last just 15 years (or so). You know that each year you'll need to pay for the gutters to be cleaned, and so on. (Don't forget there will be HOA fees, insurance and taxes that can be a part of your monthly payment as well.)
4. Ownership: Okay, this is a given. Homeownership means you "own" your homel. That comes with some incredible perks though! You can renovate, update, paint and decorate to your heart's desire. You can plant trees, expand the patio, or do holiday decorating that would rival the Kranks (if the HOA allows!). The bottom line is this is your home and you can personalize it to your taste. Most renters are stuck with the same beige walls and beige carpet that has been standard apartment decor for 20 years. Now is your chance to let your home speak! (We would have said decorate like the Griswolds, but you get the idea! In fact, Highlands Ranch is currently holding their annual Holiday Decorating Contest.)
5. Great Deals: It's a great time to buy. Interest rates are at historic lows. We're talking 4.0% instead of 6.0% or higher. This means big savings for today's buyers. Home prices have also taken a dip since the recession, which means homes are more affordable than ever. If you have steady income and cash for a down payment, then be sure to talk to your local real estate agent about what homes in your area could be a fit for you. (Interest rates even dipped a bit below 4% this week. Will rates go any lower? That is really the $64,000 question. But when compared to rates of old, our brother's interest rate on the home he bought back in the late '80's was 11%, you really won't find a much better time to buy.)
Homeownership is a real joy. It's time to get off the fence and into a home that is right for you!
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