Buying vs renting
Are you trying to decide if it makes more sense to rent or buy a home today? If so, here’s what you need to know. Renting and owning are fundamentally different in so many ways. And owning a home has the power to change your life. Take a look at this. The net worth of a homeowner is significantly greater than a renter. On average, a homeowner’s net worth is about three-hundred-thousand dollars. On the other hand, a renter’s net worth is about eight thousand dollars. Let that sink in for a moment. That means a homeowner’s net worth is roughly forty times greater than a renter’s. Now, why is that? One reason is, when you rent, your monthly payment goes toward your housing costs, but doesn’t have any long-term benefits. But, when you own, your monthly payments and any home price appreciation helps you build equity. And that equity gives your net worth a big boost over time.I know mortgage rates feel high today, but it may still make sense to buy a home when you consider the long-term benefits of investing back in yourself.