Number One Reason To Own A Home

EQUITY EQUITY EQUITY!

The difference between the value of your home and what you owe is called equity.

Equity is basically like a forced savings plan which is awesome because saving money could be really hard and take forever.

How it works?

You make your mortgage payment every month and part of that is applied to your principal balance and with that you owe less and less on your home. If your home appreciates in value since the time you purchased it, that increase in value also raises your equity. Over time, the equity in your home could be huge. According to some studies, an average homeowner gains more than $65,000 in equity in just 5 years. Where else could you make that kind of money for just owning something?

When you rent, you are literally throwing money away and making your landlord wealthier.

This aint 2008 no more.

10-ish years ago, a lot of homeowners used their homes like an ATM machine, pulling out money to buy cars, boats, and even take luxurious vacations. Homeowners nowadays are no longer making foolish mistakes like that. They realized that spending money on things that don’t appreciate it in value like a boat is not very smart.

Homes have more equity now.

It’s so amazing that nowadays 50% of homes have at least 50% of equity. According to the Urban Institute, 37.1% of all homes in the county are mortgage-free. In a home equity study, ATTOM Data Solutions announced that of 62.9% of homes with a mortgage, 25.6% have at least 50% equity. That number has been climbing over the last five years.

Owning is way better than renting because when you own, your housing expense (mortgage payment) comes back to you in the form of equity in your home. That will never happen with your rent payments. Like I mentioned, that is only helping your landlord build wealth.

I also understand that saving for a down payment could be difficult especially 20% but did you know there are loan programs that only require 3.5% down? It’s for first-time home buyers and it’s pretty great.

If you have any questions, feel free to reach out. I would love to help you find a solution and get you on track in becoming a homeowner and start building your own wealth for YOUR future.

As always thank you for reading, I appreciate you and your time.

xoxo,

Damaris