Should You Buy Or Rent A Home? Advice For Military Families

The military can be unpredictable, and as a military family, deciding about whether or not to buy your next home is always something that you need to put a great deal of thought in. Although military members often receive a tax-free housing allowance to cover all or part of their monthly rent or mortgage payment, some still question what option is right for them. There isn’t one specific answer to the question of whether or not you should buy or rent your next home, it really just depends on your own individual situation. Plenty of factors can impact the answer to that frequently asked questions, such as the strength of the local economy, interest rates and trends, your total family income, your tax bracket, and many more.

With interest rates currently on the rise, renting might be a more attractive option at this time. However, when renting becomes more attractive, rentals become more limited and in some cases the monthly rent payments will increase. In contrast, there will be more homes available to buy and more competition among the sellers to place their homes at an affordable cost, and then be open for negotiations. What that means for you as a potential buyer, is that the lower your home costs, the lower your mortgage will be, which will then make your monthly payments lower. When you do your research and know the market where you are planning to buy or rent, what it comes down to is your individual situation and what you and your family can afford.

No investment is ever without a risk, you just need to be willing to make that jump. Real estate investments have more of a tax advantage than an investment in the stock market would. As a military family, you may have an additional capital gains advantage, due to the constant unpredictability of transfers. It will be worth it to talk to your Armed Forces tax representative to find out more.

Sometimes home prices, whether you’re buying or renting, can be as unpredictable as the military. Whatever your situation may be, there is always an option for you that will be right at any given time. For more information about whether you should buy or rent a home, visit here.