Buying versus Renting a Home
I continually tell people now is a great time to buy for some people but not everyone. If you are confident that you will continue to be employed, you understand the costs of owning a home because it’s not just a mortgage payment, and you plan on staying in that home or holding onto that home for 10 years then it is a good time.
Below is an article from they NY Times that is worth reading. I have highlighted what I have found to be the most important part of the article:
As this year’s spring buying season nears its peak, the relative merits of renting and buying are closer than they have been since the housing bubble began inflating almost a decade ago. So the best single piece of advice for most people is to make a decision based mainly on their stage of life, rather than on any complex financial calculations.
If you think you are ready to settle in one place for at least five years, if not more, buying often makes a lot of sense. That’s why I bought my first house, in the Washington area, a few years ago, despite thinking local prices remained high.
But if the chances are good that you will move again in the next few years, renting is usually the better bet. The various closing costs, including real estate agents’ fees, are just too high. Owning a house also makes it much harder to move when you want to because selling a house is complicated.