For a long time, conventional wisdom seemed to be that you grow up and buy a home because that’s just what you do. But lately, people are realizing that it isn’t always the smartest financial move. Obviously, the housing crisis has a lot to do with that—it’s made people question the standard assumption that homeownership equals financial stability.
Homeownership isn’t a good or bad idea on its own. It has everything to do with your own situation. Sometimes, buying a home is the smart thing to do; other times, it really isn’t. Whether or not it’s smart for you will depend on a few different factors. Here’s what you should keep in mind.
The biggest argument for owning a home is that it’s an “investment.” But a lot of people tend to overestimate the return on this investment.
People tend to believe that homes are appreciating assets, but this isn’t always true. Overall, the housing market doesn’t have a great long-term return. It barely outpaces inflation, in fact.
| America's Real Estate Force Corporation, Po Box 227513, Miami Fl 33222 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Elk Realty, Po Box 227121, Miami Fl 33222 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Real Property Management Miami, Po Box 228658, Miami Fl 33222 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 1 2 1 Realty Marketing, 929 Sw 122nd Ave, Miami Fl 33184 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 1 Key Realty, 21100 Ne 21st Pl, Miami Fl 33179 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 1 Miami Realty, 2555 Nw 102nd Ave Ste 109, Miami Fl 33172 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 1040 Realty, 2642 Sw 152nd Ct, Miami Fl 33185 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 17 Real Estate Brokers, 2100 Pnc D Leon Blvd Ste 940, Miami Fl 33134 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 17threalty.com, 5930 Nw 99th Ave Unit 8, Miami Fl 33178 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 1st Florida Real Estate Investments, 10271 Sunset Drive, Suite 103, Miami Fl 331 More ... |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 1st Realty Services, 10323 Nw 56th Ter, Miami Fl 33178 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 1ws Realty Corp, 4565 Sw 87th Ave, Miami Fl 33165 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 21 Group, 60 Sw 13th St Apt 4618, Miami Fl 33130 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 21st Century Investment Group Corp, 3625 Sw 37 Ave, Miami Fl 33133 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 222 Gp Realty, 13876 Sw 56th St Ste 209, Miami Fl 33175 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 23 Realty, Po Box 450546, Miami Fl 33245 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 24/7 Realty, 1505 Sw 87th Ave, Miami Fl 33174 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 26 Realty, 2999 Ne 191st St, Miami Fl 33180 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 305 Miami Realty, 1395 Brickell Ave Ste 800, Miami Fl 33131 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 305 Properties, 1111 Brickell Ave Fl 11, Miami Fl 33131 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 360 Realty, 3340 Ne 190th St Ste 104, Miami Fl 33180 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 3edo International Realty, 20900 Ne 30th Ave Ste 1012, Miami Fl 33180 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 477 International Realty, 175 Sw 7th St Ste 2020, Miami Fl 33130 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 50 States Realty, 13391 Memorial Hwy, Miami Fl 33161 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 50b, 701 Brickell Ave Ste 2040, Miami Fl 33131 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 7 Group Realty, 1074 Ne 210th Ter, Miami Fl 33179 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 7a Properties, 1741 Coral Way, Miami Fl 33145 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| 911 Realty, 2525 Pnc D Leon Blvd Ste 300, Miami Fl 33134 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A & D Group Realty, 1110 Brickell Ave Ste 505, Miami Fl 33131 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A & G Team Realty, 956 Sw 82nd Ave, Miami Fl 33144 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A B M Realty, 3400 Sw 128th Ave, Miami Fl 33175 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A G Real Estate Services, 9211 Kendale Blvd, Miami Fl 33176 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A J Baumann Associates, 16155 Sw 117th Ave Ste B27, Miami Fl 33177 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A L C Realty, 10901 Sw 125th Ave, Miami Fl 33186 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A M A Realty Group, 9045 S Dadeland Blvd, Miami Fl 33156 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A M Realty Corp, 4711 Nw 79th Ave, Miami Fl 33166 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A T Y Group, 2211 Country Club Prado, Miami Fl 33134 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A'costa Del Sol Group, 2965 Nw 15th St, Miami Fl 33125 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A+ Homes Realty, 9400 Sw 120th Ave, Miami Fl 33186 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A-venture Capital Estates, 999 Brickell Ave Ste 1000, Miami Fl 33131 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| A1 International Realty Corp, 8900 Sw 107th Ave Ste 317, Miami Fl 33176 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Abatement, 520 Brickell Key Dr Ste 200, Miami Fl 33131 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Abescondos.com, 13690 Sw 142nd Ave Ste 33, Miami Fl 33186 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Abha Realty, 7855 Nw 12st Suite 105, Miami Fl 33126 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Abner Realty, 2103 Coral Way, Miami Fl 33145 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Abora Realty, 2020 Ne 163rd St Ste 300bb, Miami Fl 33162 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Abora Referrals, 2020 Ne 163rd St # 300bb, Miami Fl 33162 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Absolut International Realty, 18939 W Dixie Hwy, Miami Fl 33180 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Accord International Corp, 1108 Kane Concourse Ste 225, Miami Fl 33154 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Ace Florida Realty, 4195 Sw 137th Ave Ste 4, Miami Fl 33175 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Ace Florida Realty, 5701 Sw 72nd Ave Ste 268, Miami Fl 33143 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Ace International Realty, 15807 Sw 85th St, Miami Fl 33193 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Acero International Ltd, 3150 Sw 38th Ave Ste 1305, Miami Fl 33146 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Acol Realty, 13611 S Dixie Hwy # 399, Miami Fl 33176 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Acqua International Realty, 175 Sw 7th St Ste 1915, Miami Fl 33130 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Acqua Real Estate Corporation, 7500 Sw 86th Ct, Miami Fl 33143 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Active Community Realty, 2940 Sw 114th Ave, Miami Fl 33165 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Ad Realty Holdings Corp, 2121 Sw 3rd Ave Ste 402, Miami Fl 33129 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Adams & Associates Premier Realty, 11831 Sw 179th Ter, Miami Fl 33177 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Adams & Garcia, 2121 N Bayshore Dr Ste One, Miami Fl 33137 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Address Real Estate, 2150 Sw 13th Ave Ste 107, Miami Fl 33145 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Adler First Commercial Realty, 1400 Nw 107th Ave, Miami Fl 33172 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Adler Management Services, 1400 Nw 107th Ave, Miami Fl 33172 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Adler Realty Services, 1400 Nw 107th Ave Ste 500, Miami Fl 33172 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Adrian Homes Realty, 13687 Sw 26th St, Miami Fl 33175 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Advance Florida Real Estate Corporation, 13441 Sw 53rd St, Miami Fl 33175 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Advance Florida Realty, 13200 Sw 128th St Ste F1, Miami Fl 33186 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Advanced Real Estate Advisors, 12141 Sw 122nd Path, Miami Fl 33186 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Advanced Realty Management, 6201 Sw 70th St, Miami Fl 33143 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Advantage Real Estate Network, 1200 Brickell Ave Ste 1950, Miami Fl 33131 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Advantage Realty Group, 175 Sw 7th St Ste 1107, Miami Fl 33130 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Advent Realty, 655 Ne 97th St, Miami Fl 33138 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Advocate Realty Services, 4601 Pnc D Leon Blvd Ste 300, Miami Fl 33146 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Aecom Technical Services, 800 Douglas Entrance, Miami Fl 33134 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Af Realty, 1800 Sw 1st Ave, Miami Fl 33129 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Affinity International Realty, 999 Brickell Ave Ste 540, Miami Fl 33131 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Affinity Real Estate Services, 1430 Nw 15th Ave, Miami Fl 33125 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Afford A Home Realty, 7385 Sw 87th Ave Ste 100, Miami Fl 33173 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Affordable Realty.com, 2500 Ne 135th St Apt 803, Miami Fl 33181 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| After Dash, 5800 Sw 127th Ave Ste 2402, Miami Fl 33183 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Ag Lake Realty, 2965 Sw 28th Ln, Miami Fl 33133 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Ag Real Estate Advisors, 40 Sw 13th St Ste 202, Miami Fl 33130 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Aga International, 7300 Sw 93rd Ave Ste 210, Miami Fl 33173 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Agena Investments, 5701 Biscayne Blvd Apt 901, Miami Fl 33137 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Agency Real Estate, 5900 Sw 73rd St Ste 204, Miami Fl 33143 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Agents Referral Network, 12039 Sw 117th Ct, Miami Fl 33186 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Agora Realty, 3665 Battersea Rd, Miami Fl 33133 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Agr Realty, 700 Biltmore Way Apt 403, Miami Fl 33134 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Aim Ag Realty, 2950 Ne 188th St # Suite112, Miami Fl 33180 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Ajf Properties, 2100 Pnc D Leon Blvd Ste 1111, Miami Fl 33134 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Ajp Realty Group, 2990 Pnc D Leon Blvd Ste 500, Miami Fl 33134 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Ajuni Properties, 2851 Nw 107th Ave, Miami Fl 33172 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Akko Group, 1401 Brickell Ave Ste 440, Miami Fl 33131 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Alaez & Associates, 14850 Sw 26th St Ste 104, Miami Fl 33185 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Alan Goldstein & Associates, 13725 Sw 176th Ter, Miami Fl 33177 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Alan Schiller And Associates, 13845 Sw 80th St, Miami Fl 33183 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Albany Homes International, 395 Alhambra Cir Ste 301, Miami Fl 33134 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Alberto A Fernandez Pa, 6330 Sw 90th Ct, Miami Fl 33173 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Albo Realty Group Incorporated, 1990 Ne 163rd St Ste 215, Miami Fl 33162 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
| Alcrist Investment Corp, 175 Sw 7th St Ste 2002, Miami Fl 33130 |
|
Get contact info and detailed information for real estate companies. Information on MLS, how it works, and how it can help you sell your home. ...Real Estate Company Details - Click Here! |
Over the past 100 years, home prices have only grown at a compound annual rate of 0.3%, adjusted for inflation. The S&P 500, on the other hand, has had an annual return of 6.5%. That’s a big difference.
While that single real estate asset might help protect you against inflation, a well-balanced stock and bond portfolio seems to be a better investment. But a lot of people’s portfolios are mostly made up of their home value. You wouldn’t put 80 percent of your portfolio in a bond simply to protect against inflation (unless maybe you were nearing retirement) so why would your home make up that same amount? That’s the argument against buying a home as investment.
When making the decision it is important to understand that buying a home might not be a great financial investment and to not forgo all of your investable assets in order to purchase a home because you are really purchasing a right to housing and not a long-term investment designed to generate income.
Most experts agree that while housing is an investment, it’s not a great investment. So if this is your only basis for buying a home, it’s probably not the best one.
Decide How Much You Can Afford: In deciding whether you can afford to buy, you’ll have to figure out how much home you’re planning on buying in the first place. One rule of thumb for figuring out this number: your home should cost no more than 2.5 times your salary. Of course, this just gives you a ballpark figure. It doesn’t consider your net worth.
Weigh the Opportunity Cost of Renting Versus Buying: While your home might not be the best investment, in the end, it’s still yours. Even if it barely outpaces inflation, at the end of the day, you own it, and that’s worth something. When you rent, you own nothing—the money is given to someone else. So lots of people argue that you should own a home because one day, you’ll pay that home off and it’ll be yours, rather than continuing to pay rent for the rest of your life.
Copyright © 2023 All Rights Reserved Homeowners-Associations-Florida.com
Contact | FAQ | Terms of Use | Privacy Policy | Website Disclaimer