Sell My House in MD | 5 Powerful Reasons to Own Instead of Rent

Most real estate brokers and agents don’t really have all the tools needed to provide 100% selling services to sellers that need to sell their houses quick, for cash and at a fair price. 

This is why we have integrated fully with all the data on the MLS and became a real estate source to thousands of investors in the MD, DC & VA region. 

In order for most consumers to take advantage of the competition between these investors, we’ve created the perfect system. If you are in the market to sell you home and you are in need for a fair offer right away… you’ve come to the right place. 

We can provide customised innovation towards all your real estate needs if you are a home seller. 

Today, I would like to talk to you about 5 Powerful Reasons to Own Instead of Rent

 

Owning a home has great financial benefits.

In a recent research paper, Homeownership and the American Dream, Laurie S. Goodman and Christopher Mayer of the Urban Land Institute explained:

“Homeownership appears to help borrowers accumulate housing and nonhousing wealth in a variety of ways, with tax advantages, greater financial flexibility due to secured borrowing, built-in ‘default’ savings with mortgage amortization and nominally fixed payments, and the potential to lower home maintenance costs through sweat equity.”

 

Let’s breakdown 5 major financial benefits of homeownership:

 

1. Housing is typically the one leveraged investment available

Homeownership allows households to amplify any appreciation on the value of their homes by a leverage factor. A 20% down payment results in a leverage factor of five, meaning every percentage point rise in the value of your home is a 5% return on your equity. If you put down 10%, your leverage factor is 10.

Example: Let’s assume you purchased a $300,000 home and put down $60,000 (20%). If the house appreciates by $30,000, that is only a 10% increase in value but a 50% increase in equity.

 

2. You’re paying for housing whether you own or rent

Some argue that renting eliminates the cost of property taxes and home repairs. Every potential renter must realize that all the expenses the landlord incurs (property taxes, repairs, insurance, etc.) are baked into the rent payment already – along with a profit margin!!

 

3. Owning is usually a form of “forced savings”

Studies have shown that homeowners have a net worth that is 44X greater than that of a renter. As a matter of fact, it was recently estimated that a family buying an average priced home this past January could build more than $42,000 in family wealth over the next five years.

 

4. Owning is a hedge against inflation

House values and rents tend to go up at or higher than the rate of inflation. When you own, your home’s value will protect you from that inflation.

 

5. There are still substantial tax benefits to owning

We know that the new tax reform bill puts limits on some deductions on certain homes. However, in the research paper referenced above, the authors explain:

“…the mortgage interest deduction is not the main source of these gains; even if it were removed, homeowners would continue to benefit from a lack of taxation of imputed rent and capital gains.”

 

Bottom Line

From a financial standpoint, owning a home has always been and will always be better than renting.

 

Source.. KCM Fernando Herboso

 

To show my commitment to my clients, I will utilize the latest technology, know-how and information allowing me to bring you the best and highest offer for your house.

To connect with me directly, 

Please call Fernando at 301-246-0001

Or via email:  Fernando@ReallyNiceHomes.com

If you are thinking of selling your home in a more traditional way… Let Fernando take over the marketing of your property with our unique 99 STEPS system 

www.99SOLD.com – Call or text 240-426-5754 for more information.

 

 

Leave a Reply

Your email address will not be published. Required fields are marked *