Buying vs. renting in Denver.

Is owning a home better than renting?

You’ve probably heard or read things like the following…

Now is an excellent time to consider purchasing a home. The prices of homes over the last couple of years have increased dramatically.

…and so have rental prices.

However…

When you own a home, you are investing in an ideal investment.

So stop paying your landlord and having nothing to show for your money at year’s end… except more rental receipts.

Although this all may be true…

It might not be true for you.

So for starters, let’s take a closer look at…

Buying vs. Renting in Denver, Colorado: The Pros and Cons

Buying versus renting is one of the most significant financial decisions adults have to make. The cost of living in an area, your preferences, and your budget will help you decide whether to rent or buy.

If you buy or rent, you’ll want to take into consideration the following:

For example, you’ll want to consider the type of neighborhood you live in, your commute to work, your budget, and your preferred lifestyle.

Buying:

We’re not in the business of helping people make decisions that they’ll later regret. Instead, we want to do what’s best for you and your financial situation.

With that in mind…

Let’s look at the advantages and disadvantages of buying a home.

Advantages of Buying a Home in Denver:

• You can build up equity over the years.
• Buying a home in Colorado is a good investment.
• You can have your pets without asking permission from the landlord.
• Put down roots.
• You have the creative freedom to make your home reflect who you are.
• Tax benefits: you can deduct your mortgage interest, property taxes, plus certain expenses from your income tax.
• The population of Denver continues to grow: Denver is one of the most desirable cities in the country.

Disadvantages of Buying a Home in Denver:

• It’s harder to qualify for a loan.
• You have to come up with a down payment.
• You have closing costs.
• Appraisal fees.
• Property taxes.
• Maintenance and repairs.
• It’s harder to move on short notice.

Renting

Renting can be a great way to live for a few years while saving up for a down payment. However, in the short term, renting a home is less expensive.

Let me give you some advantages and disadvantages of renting.

Advantages of Renting in Denver:

• Less risk: You have no risk if the real estate market goes down.
• Flexibility: You can pick up and move if you don’t like the area or are your neighbors.
• It’s easier to get qualified.
• You don’t have to take care of the maintenance or the upkeep.

Disadvantages of Renting in Denver:

• The fee to run your application and credit report.
• Security deposit.
• Noisy neighbors.
• Poor parking arrangements.
• Pay for laundry.
• Nonrefundable deposit.
• You can’t have your pets with you.
• Pay for the first month’s rent in advance.

Let’s be honest…

It’s Time To Fire Your Landlord and Enjoy Pride of Ownership

Instead of making your landlord wealthy, it’s time to purchase a home so you can build equity. Then, when you own your home, you can remodel it to serve your needs.

Also…

You can decorate it the way you would like to.

With homeownership, every monthly payment moves you one month closer to having a home clear and free.

Then, if you decide to sell before the term is due, you can use the equity to buy another home.

Or for anything else you would like to purchase.

If you are considering a new home, then ask yourself…

Is Your Life Stable For Buying a Home?

Do you see your life changing soon or in the near future?

If you aren’t sure or answered yes, then it probably isn’t a good idea to consider purchasing a home.

Homeownership brings additional challenges you didn’t have to deal with when renting, such as mortgage insurance, being in debt, paying a mortgage and interest, upkeep on your home… etc.

If your job and life are stable, purchasing a home would be wise for you right now.

If you have doubts about your living situation and job, you may want to rent until you feel more stable.

You have all of your answers…

No matter what you read or hear about buying a home, only you can decide if it’s right for you.

Let me say this straight…

Unfortunately, no one can answer whether owning a home or renting is better.

It all comes down to this…

Get Real About What You Want When Buying a Home

Seriously…

Many articles tell you that renting wastes money and owning a home is the best way to build wealth.

For that reason…

I suggest that you…

Ignore the rules and suggestions about what others say you should be doing about buying or renting.

There is no right or wrong when buying a home or renting.

Andy Taylor, vice president and general manager of Home & New Ventures at Credit Karma, says, “There is no one-size-fits-all approach to where you live and how you pay for it.”

Most importantly…

Only you know if purchasing a home is best for you.

A word of caution…

Crunch Some Numbers and Be Honest With Yourself

We can help you decide if it makes more sense for you to buy or rent.

For one thing…

Contact one of our mortgage brokers today, and we’ll help you crunch the numbers.

You don’t have to try and figure this out by yourself.

We’ll walk you through the whole process.

So you don’t have to worry…

Most importantly…

For starters…

You’ll want to consider if you are ready to be a homeowner and take on ownership responsibilities.

If you answered yes…

Let’s get things underway.

I’ll be the first to admit…

When it comes to homeownership…

Yes, there is something special about owning your land and having a place you can call home.

It’s nice to know that you can paint the walls or install new flooring without getting approval from your landlord.

You’ll also appreciate having a place you can call home.

U.S. News had this to say about mortgage brokers, “A mortgage broker can help if you want support sifting through loan options, pinpointing the best interest rates, or overcoming complex borrowing challenges.”

 

They also noted, “A mortgage broker acts as a matchmaker to connect you with the right lender for your needs.”

Buying vs Renting: What’s the Verdict?

Renting a home and buying a home each have their advantages and disadvantages.

The high cost of buying a home in Denver and the major commitment it represents means that renting will probably be more appealing to many people.

However…

That doesn’t mean that’s best for you.

If you know beyond a shadow of a doubt that Colorado is where you want to live, purchasing a home makes perfect sense for you.

In the long term, the benefits of buying a home outweigh renting.

If you’re ready to start house hunting in Denver, see us for your mortgage.

Then Contact Us, or call 303-761-8045, and we’ll be more than happy to answer your questions about homeownership and getting a mortgage that meets your needs and fits your budget.

P.S. If you didn’t have time to finish this entire article, here’s what you missed.

1. The ongoing debate about buying versus renting in Denver, Colorado.
2. The most important thing you should ignore when deciding on purchasing a home.
3. A list of advantages and disadvantages to buying or renting a home.
4. Plus lots more…

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