Whether you want to buy or rent is your personal decision based on your life situation as much as the housing market. “If this is not the time for you, there will be a time in the future, there will be a property, there will be an appropriate mortgage product… Do not try to time the market. Time your purchase around your life.”
Renting a home provides you a roof over your head and the flexibility to leave when you want. At the same time, it can feel like you’re throwing money away by not building equity in your home. By some estimates, the median monthly rent cost is about 25% higher than a typical monthly cost for owning a mid-priced home. Check out these quick facts:
- Rising rents could push new homebuyers into the market, which could drive prices higher. Rising values may help with refinancing or even accessing cash for repairs, improvements, tuition or other expenditures.
- High rents make it harder to save for a down payment. Fortunately, low down payment options are plentiful.
- Rising rents improve potential cash flow opportunities on investment properties or vacation homes. The timing may be right to follow that dream.