Hi guyz…
I wanna to decide whether to buy a house or keep renting, and I could use some advice. I hear a lot of people say that buying a house is a good investment, but I’m not entirely sure why.
Can anyone explain the benefits of buying a house? How has it worked out for you in terms of financial stability, investment value, or any other advantages? I’d love to hear your experiences and insights to help me make an informed decision.
Thanks!
This past month, I purchased a fixer-upper. I’ve been living with my parents and accumulating money for this, so I think it’s worth it. I’m saving a ton of money since I’m doing everything myself rather than hiring someone else to do it. I enjoy doing repairs and taking on projects, so having my own property and keeping it up appeals to me. I’ve never had more motivation than I do now. It excites me to think of the day it will be finished and I can move into a fully customized home. I also received a fair pricing and locked it in at 5.125% in early July because I live in a very LCOL neighborhood.
I’m not sure. I believe that many Americans overthink the process of purchasing a property. If the house you like is in a location you like, you can afford it, and you basically check all the boxes, then go ahead and buy it; if not, don’t. The majority of my family owns a home, yet I was raised in a developing nation. All they see is a place to live, not an investment. Since they want to stay for at least ten years, they don’t give a damn about the interest rate. They purchased their home with the intention of staying there for a very long time, so other considerations—like FOMO—did not influence them.
Buying a house is beneficial in asset accumulation. As you make mortgage payments, you build equity in your home. Over time, this equity can become a significant financial asset.
I think a lot of people are also worried that they’ll be priced out forever.
We really need to adopt a housing model like Japan. People aren’t clamoring to buy housing over there out of fear that they’ll be priced out. Housing in Japan is built so abundantly (and redeveloped so often) that they’re essentially like phones or cars. You buy a place because it’s new and you want to live in a modern dwelling. And you’ll probably sell and buy another place later when you want to upgrade to another newly built dwelling.
To be honest, it depends on your character and stage of life. I’ve been renting for fifteen years, and I recently signed a contract as a thirty-something FTHB. I am so excited to have a proper home after 15 years of shoddy appliances, slow repairs, white walls, loud neighbors, worrying about how much my landlord would raise my rent, buying cheap furniture so moving wouldn’t be too costly, etc. I can’t speak to actually owning a home yet! However, I also enjoy gardening and other do-it-yourself tasks. Whether you believe the extra risk and responsibility are worth it really depends on your values.