Investing in real estate makes perfect sense, as long as you plan to live in or keep the home for at least five years. Interest absorbs most of the monthly payments for the first five years. After at least five years, you will begin to reduce your principal debt.
Most of us are not big monthly money savers. East Carolina University’s Dr. Eli Beracha, who co-authored the article with Florida International University’s Ken H. Johnson, said that according to research, buying a home is better than renting one, because a mortgage turns into an account. forced saving.
Dr. Beracha added that people who rent must invest their savings. The research found that most people who save money don’t invest. Buying a home now is a better option, especially with lower interest rates and home prices.
Reliable and educated sources of information such as Forbes Magazine (The Next Mortgage Crisis); Wall Street Journal (time to buy that house); Market Watch.com (this might be the best time to buy a home) and JP Morgan Market Insights suggest that there has never been a better time to buy a home.
Consider the following
• The price of the house you choose must be in line with comparable prices;
• Take a good look at the state of the house. Will it cost you a substantial amount of money to renew?
• How long has the house been on the market? The seller may be eager to sell at a lower price;
• Make sure your offer is affordable. Consider all of your living expenses and make sure you can afford the fee. An offer may not be accepted. The seller is more likely to accept a fair price related to market value.
It is highly recommended to have the knowledge of a real estate agent. The real estate agent will negotiate on your behalf.