Your mortgage payment is a form of forced savings
There are some renters who haven’t purchased a home yet because they’re uncomfortable taking on the obligation of a mortgage. Everyone should realize that unless you’re living rent-free with friends or family, you’re paying a mortgage – either your mortgage or your landlord’s.
Today, according to the March 2020 Rent Report on apartmentlist.com, average rental prices continue to rise. This means your landlord benefits each time you pay more on your lease. When you’re paying your landlord’s mortgage instead of your own, you’re not the one earning the equity.
As an owner, your mortgage payment is a form of ‘forced savings’ you can use later in life to reinvest in your family. You can put it toward a variety of investments, such as saving for your children’s education, moving up to a bigger home, or starting your own business. As a renter, it can be more challenging to achieve those types of goals without home equity working
for you.
Bottom Line
Buying a home sooner rather than later could lead to substantial savings and long-term financial growth for you and your family. Let’s get together to determine if homeownership is the right choice for you this spring.