According to a new article published by the L.A. Times, on average, potential homebuyers who purchase a home instead of renting can break even by three years.
This real estate news was discovered by the website Zillow, and the new analysis of this data is called the “break-even horizon.” The discovery: compparing what it would cost to buy or rent the same home in a number of U.S. markets over time. Of course, the rent versus buy calculations vary widely based on location.
The analysis includes many factors that first-time homebuyers need to consider when purchasing a home, such as the down payment, mortgage and rental payments, buying and selling costs, utilities, property taxes, maintenance costs, homeowners insurance and tax deductions. Additionally, the analysis adjusts for price inflation and also predicts home values and rental price appreciation.
If you’ve been a renter for a long time and are interested in purchasing your own home in Atlanta, Georgia, don’t hesitate to contact The Mortgage Guys. George and Dan can work with you to make you feel comfortable making well-informed decisions about the home buying process and guide you in calculating your budget.