5 Truths About Florida Homeownership in Today’s Market
Fri Nov 11, 2011 on Blog
When you are paying rent to a landlord, once you hand them a check, that money goes down the rabbit hole, never to be seen again. Paying rent does nothing to help your financial profile. So if you can afford paying some higher up-front costs (down payment, closing costs, inspections), Weston Title wants you to think about homeownership because you will make that money back, and hopefully add to it, by building equity in your home. While some areas have been hit hard by the recession, homes typically appreciate by four to six percent a year.
If you’re living in an area populated by renters, it’s likely your neighbors change more frequently. Most are signing one leases, while some have even shorter terms. So it stands to reason you’re less likely to know your neighbors, and make lasting friendships with them. Homeowners tend to stay put much longer, particularly if they hope to recoup their closing costs. You’ll also find more places to socialize (community centers, pools) in places populated by homeowners.
That holds true if you have a fixed-rate term on your mortgage, which Weston Title suggests you conisder. Simply put, your monthly payment will never change, no matter what changes the housing market might go through. This will allow you to budget your money much easier. With rent, it’s likely to go up from year to year, every time you sign another lease. Of course there are still other big expenses that go along with owning a home, some you can plan for, some you can’t. But most, even the big expenses, say cleaning your gutters are.
This one is a bit obvious, but it can’t be ignored. When you own a property, you’re not subject to a landlord’s rules (Although in Florida, you could have rules imposed by a HOA, so be careful) But generally speaking, you can match your home to meet your own personal tastes. That means renovating, painting, or decorating your home as you see fit. That’s a benefit renters will never see.
5. Deals, Deals, Deals
As we mentioned, it’s still very much a buyer’s market. with interest rates at historic lows, in some cases as low as 4.0 percent. The recession has also brought down the price of many homes, so more and more properties could be in your price range.
Weston Title & Escrow is a trusted Florida title company. Providing Florida real estate closings, title insurance, title searches, and escrow services since 1994, Weston Title is owned by real estate attorneys Roy Oppenheim and Ellen Pilelsky, the founding partners of Oppenheim Law.