Happy Homeownership Month!

Did you know that June is National Homeownership Month?? In our newsletters this month we asked… Are you ready? (6/7) We paused for some Thought Bubbles (6/14) and then shared Market Updates in Real Estate (6/21). Today we’re looking at a few of the most advantageous benefits of homeownership:

As a hedge against inflation

As a stabilizer in the monthly budget.

Historically, home prices outperform inflation. It seems that everything is more expensive today, and it is. Food, gas, cars, travel, and both mortgage rates and rents have all gone up considerably. The consumer price index (basically inflation) rose 8.6% in May from a year ago. It’s expensive out there! Something to consider with home ownership is that sale prices also rise. Houses appreciate in value. What may sell for $650,000 today may be worth $750,000 in a short period of time. And even with the high inflation rate, real estate generally keeps up or outperforms it.

And although both home prices and mortgage rates are going up, it may be better to buy sooner rather than later, because it is predicted the trend is going to continue. One way a mortgage helps stabilize your monthly budget is by locking in your housing payment. With a 15, 20, or 30-year fixed mortgage rate, you have a set dollar amount that stays the same for the life of the loan. Other housing costs may rise, but the biggest part of your budget, that principal and interest payment, stays the same! Can you imagine paying the same amount for rent 5 or 10 years from now??

I know deciding whether or not to buy a home can be an overwhelming task. However, if you’ve been giving it serious thought and planning and feel now may be the time for you, let me help. Come visit me over at FirstHomeEd.com and let’s get started.

All good things,

Diana