Real Estate is not a good investment?
From what we see in the media, one might think that the value of home ownership is now uncertain. It can really makes more sense to rent than to buy your home?
From my point of view, is the primary factor has always been the same regardless of the current real estate economy – how long you plan to stay at home? The longest period is less important temporary decline in market values and rents are expensive.
According to the National> Association of Realtors (NAR) the property value on average 5% per year and have doubled in value about every 10 years.
Let's say I have a house in cash $ 200,000.00 and put 20% down. With an average of 5% of the house will be worth $ 10,000.00 more in 1 year for a return on investment of 25%! If you put less ROI may be even higher. You can not really better in another long term investment? How did the CD scale works for you?
Thetax incentives for the property has become even better. In addition to the deduction for property tax and interest charges, insurance mortgage on the list of deductions in 2007. Our government is actually subsidizing the purchase home.
There are also many intangible benefits of homeownership. Your main residence fist and especially the place where you live and maybe bring your children. This will probably give your family more squares of material than a dollarBased dollars. The possibility for your personal space is much larger, and so on.
Maybe it's time to put aside their emotions and assert the logic?