SHOULD YOU RENT OR BUY A HOME?
A big question for many people is whether they should rent or buy a home. With increasing prices in Austin in both the rental and housing markets, it is a wise decision to think about your long term future and goals. How long do you plan to remain in a residence? What is your current debt situation like? Do you have money for a down payment and closing costs? Do you have extra funds for repairs and maintenance? With such a large financial decision and commitment, there is much to consider when it comes time to buy.
With renting, 100% of your rental payments goes to your landlord. While buying and taking on a large debt may be a bit scary, consider it an investment in your future. With a home mortgage, part of the monthly payment goes towards paying down the principal. There also may be tax advantages to buying a home based on the property taxes and interest you pay on your mortgage. Over time, if the housing market remains strong, you can gain a considerable amout of equity in your home. While buying a home and taking on a large debt may be a bit scary, consider it an investment in your future.
If you are on the fence about buying, consider using this Rent vs. Buy Calculator to see what makes the most sense for your personal situation. Also, I am happy to discuss with you your situation and give you honest guidance.