Source:Keeping Current Matters

HOW TO CREATE REAL FAMILY WEALTH

Buying a home is often the biggest financial decision that any family will make.

If you are ready and willing, find out if you are ABLE to buy a home by speaking with one of our mortgage experts about a no cost, no obligation, full evaluation of your credit and options.

Hiring a local real estate professional who knows the area that you would like to move to is often the best next step.

A few items to consider:

• The average net worth of a homeowner is 45X's greater than that of a renter. (Example: Homeowner - $225,000 vs. Renter - $5,000)
• Even after the housing crisis (Dec. 2007-June 2009), net worth of homeowners over time has been greater than renters.
• When you rent, you are paying your landlord's mortgage...Why not start paying your own?

Find a balance between the pros and cons

When to Rent

• Interest rates are historically low
• You're financially stable
• You have researched the market
• You have good credit
• You're ready for a long term investment (i.e. you plan on living in the home 5 years or more)
• You understand potential tax deductions

When to Rent

Extra costs, maintenance requirements

When to Rent

• You require flexibility
• Uncertain career path
• Financial instability
• Lack the time to care for property
• Poor credit

When to Rent

Rent hikes, lost investment, landlord's rules

Buying a home creates real wealth for you and your family

When to Rent

• Building equity in your home
• Gaining tax advantages
• Convert your home into a rental property investment
• Owning a property as it appreciates

When to Rent

Homeownership puts your housing costs to work for you. Paying down a mortgage principal increases your net worth.

When to Rent

It is difficult to invest their "saved" money each month without a near-term goal, like a down payment.

Overall trends state that buying is the best option. Always evaluate your situation and long term goals before making a home purchase.

If you have done your research, you can decide if and when you are prepared to buy a home and create real wealth for you and your family.

When to Rent

• http://www.keepingcurrentmatters.com/2015/06/24/buy-vs-rent-what-really-creates-family-wealth
• http://www.trulia.com/blog/rent-buy
• http://www.federalreserve.gov/pubs/bulletin/2014/pdf/scf14.pdf
• http://www.nytimes.com/2014/11/30/opinion/sunday/homeownership-and-wealth-creation.html
• http://www.zillow.com/home-buying-guide/rent-vs-buy