There have been several articles in the news lately about the astronomical costs of renting. Our own Utah Association of Realtors magazine even did an article in the 2nd Quarter Edition about the rising costs of renting in the Salt Lake City area.
So the question for me becomes, if you can, why not buy now? Interest rates are still amazingly low, in the Cedar City Real Estate Market home prices are nearing the 1998 levels, so why pay someone else’s mortgage and build equity for them?
I realize that the down turn in the economy has forced many former homeowners into becoming renters. I understand that. What I struggle with is why those that can buy are still sitting on the fence. If Walmart or Macy’s was have a 40 to 50% off sale, would you as a consumer wait until the prices bottomed out? If that 60 inch HDTV, flat panel with 3D at Best Buy were 50% off would you wait? The answer is a resounding NO! You may even be the one elbowing your way to the front of the crowd.
Yet these are the very consumers that are waiting to see if prices will drop more. What we’re seeing a lot in our market is some of those buyers who have waited until now to buy, are getting into multiple offer situations with investor buyers. That should really tell you something, the investors are back in our market, that means there are deals to be had!
There are many reasons that buying is better than renting. I will put a short list that is in no way conclusive, there are many other reasons that may be included.
1. When you buy, you don’t have to pay a pet deposit.
2. When you buy, you don’t have to ask permission to put up pictures of the family on the wall.
3. When you buy and don’t like the almond colored stove and dishwasher, you can change them out with something that you like.
4. When you buy and don’t have little kids, that Kool Aide colored carpet is out of there!
5. When you buy, you can choose if you wish to have cable or satellite TV instead of rabbit ears!
6. When you buy, you don’t ever have to let the landlord in for an inspection of the property.
7. You don’t like that ecru colored flat paint on the walls, you can paint over it!
8. Conversely if you want a “Blue” room you can have one, or if you don’t you can change it out to a room that meets your style!
9. Most importantly, right now in some prices ranges your mortgage is less out of pocket than your rent check is!
10. Most importantly part B, homeowners on average have a net worth 4 times the net worth of renters!
Is it a good time to buy, if you are in a position to do so, YES! So go out and find a local Real Estate Expert and have them help you find that house that is just right for you! Here in Cedar City, contact The C Team, we can help!
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If you’re looking to buy or sell real estate in Cedar City, Utah; please give us a call. We would love to earn your business!