If you’re currently renting a home or apartment and are considering buying a Flower Mound or DFW area home, there are plenty of good reasons to choose home ownership! You already know that renting is like throwing your money away, as you are not building equity in property of your own. Recently, a study conducted by Trulia (a real estate search site) indicated that in the 100 largest metro areas in the U.S., owning a home is now cheaper than renting. Great news!
It seems almost unbelievable that renting could be more costly than purchasing a home, but statistics show it’s true. For instance, the report found that in cities such as Oklahoma City and Gary, Indiana, the costs of owning a home were 63% lower than renting. As the 7th most populated metro city in the U.S. today, Dallas and its surrounding communities are some of the most attractive destinations for homeowners today.
When it comes to buying a DFW area home vs. renting, there are more factors to consider other than the price of a home, and how much down payment is required. As trusted Flower Mound, TX realtors, we understand that for some, lack of a down payment and low credit scores are two factors that prevent purchasing a home. However, it is highly to your advantage when you can purchase a home of your own.
Trulia’s report revealed factors such as how long a homeowner remains in the home, tax bracket and changes in the mortgage rate do impact the cost of home ownership. For instance, when a homeowner fails to take advantage of the mortgage interest tax deduction, lives in the home for a very brief time and has a mortgage rate that is too high, it can be more expensive than renting.
That should not discourage you, though. Homeowners typically stay in a home for far longer than 4 or 5 years, and studies show that those who live in a home for seven years before selling, who fall in the 25% federal income bracket, obtain a low mortgage rate and who itemize deductions when filing federal income taxes generally save a tremendous amount of money when compared to renting.
Owning the home of your dreams can actually SAVE you money, so why rent? At Team Nelson, our Flower Mound real estate agents are dedicated to helping you make the best decision for your family, your budget, and your lifestyle.