Does Renting Make Sense for you?
Today I want to talk to all the Military Veterans who for whatever reason are renting a home. Your VA Loan is your ticket to home ownership.
Here in Northern Virginia where rents run about 30% higher than mortgages on the same home it has become a wise choice to buy when PCSing or living in to Northern Virginia area. Over the years many Military Veterans have purchased homes and then rented it out when they left the leave the area. Many have done very well on those rentals over the years.
If you are going to be in the area 3 years or longer it is always wise to purchase rather than buy if you have your VA Loan available for use. It does not matter if you are a first time or second time user it is still cheaper to Buy then Rent, Did you know your deposit to buy a home uses VA can be less than the deposit to rent a home!
Lets talk about that it takes to Rent VS Buy
A typical single family home around Fort Belvoir area for example is $3000.00 to rent and that would mean you need $3000.00 deposit and $3000 for first months rent. And if you have pets the amount goes up from there! $6000.00+ to move in!
Now let's look at buying using your VA Loan which allows you to buy Zero Down and Zero Closing Costs if you work with an agent that knows how to structure the offer properly and also knows financing. As long as you stay under a List Price of $625,500* you can do Zero Down Loan. ( You can go higher but would be required to put 25% down of any amount over $625,500.)
You will need a $2000.00 for a contract deposit plus $600 for Home Inspection Fee and $600 Appraisal Fee. When you close on a home utilizing your VA Loan you can get back your deposit and appraisal fee. So you will be out of pocket just the Home Inspection Fee.
A typical home that rents for $3000.00 would be expected to sell at just about $600,000 so let's look at a Rent Vs Buy Scenario.......
Look at that Savings after 3 years of Owning Vs Renting and this is with selling costs taken out!! What could you do with $29,921.00??? Renting is the most expensive housing in the Northern Virginia area! I just helped a couple coming from the Navy Yard in D.C they were renting for $2600.00 a month a 700 sq ft efficiency..now they are going to be living in a beautiful brand new single family home with five times the space for about the same payment! Do you think their lives about to change ??
Let's think about it...
They will have room for a table to eat at
They will have a two car garage
They will have the storage they desperately needed
They will have several guest rooms
They will have a yard
They will be able to Paint or Decorate How Ever they would like
They will have a wonderful tax write off and this will shelter their income
They will have the pride of Ownership!
If you are a Military Veteran living or relocating to the Northern Virginia Area before you rent a home Let's Talk. You are under no obligation to buy but I would be honored you speak with you and see if buying is an option for you. You can buy a home and move in in 30 days we do it all the time. So is $29,000 saving worth taking a quick trip into town before you relocate or before you sign that new lease that is going up again call me.
You will be glad you did Call Patty Now at 703-801-9367