Rent Vs Buy
Hi, I’m Kerry Greenwald, Senior VA Loan Specialist and owner of Creekside mortgage. Today I want to talk to you a little bit about the age-old question, ” Rent VS buy, is it cheaper to rent or is it cheaper to buy?” It is going to change on a year to year basis. But if you look at something you always want to compare both. When you do rent something your payments can consistently increase over time based on inflation rate factors or supplying and demand. So as we have witnessed here lately over the last few year’s rent has drastically gone up over time. When you buy a house, yes, your payment can increase over the years, but they can only increase based on what you pay in taxes on the property and what your insurance is. Your principal and interest are always the same. So typically in the very beginning, it is a little bit more expensive to buy a house VS rent, but overall for a longer period of time, it’s cheaper.
Other benefits of homeownership are write-offs on portions of your taxes, you know what your payment is and you don’t have to worry about it increasing over time, and you don’t have to worry about the property being taken out from underneath you, like it being sold or just drastically increasing over time.
I truly ask everybody to reach out to anyone on my team to go through and run that scenario. I’ll be honest with you, will see if it’s cheaper, long-term, short-term, what your plans are and which ones are a better option for you. It is unique to each individual case and each individual area. Whether you are in Vancouver, WA, Portland, OR or Boise ID, the scenario will change. So I ask you again to call and see what the differences are! Feel free to take a look at our mortgage calculator and play with some numbers then give us a call. Thank you!