The Best Investment
As a fairly general rule, homes appreciate about 4-5% a year. Some years will be more, some less. The figure will vary from neighborhood to neighborhood, and region to region.
5% may not seem like that much at first but you could easily earn over the same return with a very safe investment in treasury bills or bonds (stocks).
For Example...
Presumably, if you bought a $200,000 house, you did not pay cash for the home, you obtained a mortgage. Suppose you saved and put as much as 20% down – that would be an investment of $40,000.
At an appreciation rate of 5% annually, a $200,000 home would increase in value $10,000 during the 1st year. That means you earned $10,000 with an investment of $40,000. Your annual "return on investment" would be a whopping 25%.
Of course, you are making mortgage payments and paying property taxes, along with a couple of other costs. However, since the interest on your mortgage and your property taxes are both tax deductible, the government is essentially subsidizing your home purchase.
Your rate of return when buying a home is higher than most any other investment you could make.
**It is such a great way to get ahead in life and plan further into the future. It doesn't matter on your income, high or low, finding out if you qualify for a mortgage is free.**
**It is such a great way to get ahead in life and plan further into the future. It doesn't matter on your income, high or low, finding out if you qualify for a mortgage is free.**
Contact me for further details. Any consultation/discussion is free of charge
