I know why most people procrastinate on buying their first dream home. It seems risky, you don’t have enough money for a downpayment and you are too comfortable living as a tenant. So why change what’s been working like a charm for you?
Being a homeowner has a ton of benefits that most people turn a blind eye on. However, in 2020, things are changing. More Millenials and GenX are wanting to become a homeowner at a young age.
You will be surprised to learn that “Millennials are expected to fuel the US housing market in 2020.” A report by BusinessInsider also states that there is a shortage of entry-level homes. The majority of homes built in the last decade were intended for rich people. When you come across an entry-level home in your area, do not hold back.
Benefits of Being a Homeowner
1) The Prices Are Expected to Increase by Tenfold in Future
With the lack of investments from the construction industry, no new homes are being built. At least not for the low or low middle-income families. Every investor wants to earn top dollar. Hence, if you manage to purchase a home in 2020, you can expect a massive return on investment, 10-15 years from now. In the housing market. 10-15 years are nothing–they will breeze by quickly.
2) Mental Peace for You and Your Family
Are you planning to stay in a major portion of your life in one city or town? If you already have a place you call home, you don’t need to think about moving to another one. Having a home of your own can provide you and your family the mental stability every healthy human seeks. Your kids can grow up knowing that no matter what happens in the future they can always stay in your home.
3) More Freedom to Renovate
As a tenant, you are not allowed to make any permanent changes to the home. Some homeowners do not even allow the tenant to have certain items in their home. By purchasing a home, you and your family will be able to customize the home without any restrictions. You can also shift or remove the walls as per your liking.
4) Lowering of Your Expenses
Living in your own home will result in the lowering of your overall expenses. It is true that you have to pay a monthly mortgage and property taxes, but the expense is nothing compared to living in a rented home in a large city.
Although, there is no one answer to this problem as mortgage payments vary based on the total cost of the home and interest rate. It is best to pull out your calculator and be sure about it.
Summary
The current housing market is leaning towards the homeowners. Homeowners are selling their homes for a higher price than they expected to sell when they bought the home. The scarcity of entry-level homes began in the year 2018. In 2020, things are not expected to get better. Hence, you should buy a home as long as the prices are reasonable.
