Maybe you have gotten a raise or a windfall. If you find you now have the means to buy a home, it is well worth it. Depending on when you are buying, mortgage rates may or may not be ideal, but buying a home can pay off in many cases even with higher interest rates. Let’s discuss why.
- You no longer have to pay rent. If you are currently renting, then you probably cringe every time your rent comes due. You know that once you send that money to your landlord, you will never get it back. You are not investing in your future; you just are making another person wealthier at your expense. Buying a home frees you from that money drain. When you submit your mortgage payments, you will increase the equity you own in your home every time. That is money that still belongs to you, even though it is not in a liquid form.
- A home can be a lucrative investment. Home values in Missouri have increased 4.8% just within the past year. If you look further back, the rise is even more dramatic. In March 2019, the average home value was $160,218 according to Zillow. Today, it is $238,125. If you owned a home since 2019, that is the kind of increase you would see in your overall wealth. While home values dip in response to some economic situations, in general, there is usually an upward trend. So, a home is a worthy investment. The sooner you buy one, the longer your home will have time to gain value.
- You get on the property ladder. Buying a home puts you on the property ladder, which refers to the ability to buy increasingly high value homes over time. Each time you sell a home, the amount it gained in value becomes available to put toward an upgraded home. The earlier you begin this process, the higher you can feasibly climb on the property ladder.
Buy a Home with a Competitive Mortgage
These are just a few of the benefits that homeownership can bring you. Buying your own home also offers lifestyle benefits that go beyond these financial advantages. We can help you buy a home or refinance anywhere in Missouri. To get started, please give us a call today at (816) 631-9687.
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