You can get a good deal. This is a buyers’ market. Mortgages are cheap. You can get a 30-year loan at historically low rates. That drops your monthly payment by 25% or more. When inflation picks up, and it will, you won’t see these mortgage rates again in your lifetime. You’ll save on taxes. You can deduct the mortgage interest rate from your income taxes and you’ll get a tax break on capital gains when you sell. The home will be yours. You can have the kitchen and bathrooms as you want. You can move the walls, build an extension or paint everything bright orange. These types of changes are impossible for renters. It offers some inflation protection. Studies by Case-Shiller suggest that, over the long term, housing has beaten inflation by a couple of percentage points a year. It is risk capital. No, your home isn’t the stock market and you shouldn’t view it as the way to get rich. Sooner or later the economy is going to grow and real estate prices will head up again, too. It is a forced savings. Part of a mortgage payment goes towards the principle repayment. You’re just paying yourself by building equity. As a forced monthly savings, it is a good discipline. You’ll get a better home. In many parts of the country it is really hard to find a good rental. Many of the best places have been sold as condos. Generally speaking, if you want the best home, in the best neighborhood, you’re better off buying. There is a lot to choose from. We have introduced new models that are more energy efficient, and in many cases, more affordable to own. That means great choices, as well as great prices. Sooner or later, the market will clear. Demand and supply will meet. As hard as it may be to believe, demand will exceed supply, the price of labor and materials will continue to increase, leading to higher prices.
Riedman Homes to be awarded in the 2019 Excellence in Construction & Real Estate Awards
By Mary Vogler |