Life is full of the unexpected, especially when it comes to finances, but maintaining financial stability is a crucial part of achieving your long-term goals. One way you can accomplish this is by buying a home, which can provide you with fixed housing costs that won’t fluctuate with the market.
How a Fluctuating Market Can Affect Your Budget
A primary advantage of buying a home is that it ensures more stable housing costs. Assuming you get a fixed-rate mortgage, you’ll have the same monthly payment, regardless of how the market changes over the years. For renters, that’s not the case. Rent typically changes each year, which provides no long-term stability for your monthly housing costs. In 2019 alone, the median rent rose 3%, and since 2010, rents have increased 36% nationally, according to RENTCafe®1. By buying a home, you can protect yourself from volatile rent increases, especially in an everchanging housing market.
Is It Time to Say Goodbye to Renting?
Before you make your decision to buy, be sure to weigh out all the financial factors. Make sure it’s a smart financial move for you, both now and in the future. For a quick way to evaluate this, try this rent vs. buy calculator2. If it’s time to say goodbye to renting, give us a call today to discuss your next steps. We will walk you through the home-buying process and help you find a home financing option that fits your needs.
2Information provide by financial calculators are intended for illustrative purposes only and may not be applicable to your individual situation.