Renting Can Be Hazardous to Your Wealth

by Rudy Benitez, Mortgage Loan Originator, AnnieMac Home Mortgage

Renting an apartment or home is a smart short-term choice for many of us. Commitment is low, expenses are predictable, and with less maintenance to worry about, it can be an easier way to live. However, once you move out, you’re left with nothing, and all of that rent money you spent is gone forever.

With that in mind, wouldn’t you prefer to skip the rent payments and put your money toward a home of your own?

Many people avoid home ownership simply because they assume they cannot afford it. Many think you need a large down payment to buy a home and that a mortgage payment is a bigger financial strain than a rent payment. Not true!

It may surprise you to learn you may actually be able to purchase a home with little to no money down, and you don’t need “perfect” credit either. With the potential tax advantages of a mortgage, your cost to own could be less than renting.

Let’s take a look at some hypothetical numbers. If average rent is $850, you will have paid $30,600 in the next three years. You could potentially purchase a home in the $125,000 range for a similar payment.

If you are looking to purchase a home in Arizona, our state offers a variety of programs designed to make the leap to ownership more affordable. For instance, the Arizona Home Plus Program offers between 2% and 5% down payment assistance for primary residences priced at $371,936 or less (as long as you earn less than $105,291 annually and are willing to take a homebuyer education course prior to closing). Plus, if you are a first-time homebuyer, you may be eligible to receive tax credits that would increase your savings even more.

With all these options to consider, owning a home of your own is certainly worth looking into, isn’t it? If you’d like to explore your options, reach out to me and I’ll be happy to help!

Rudy Benitez
Mortgage Loan Originator
NMLS#: 279376
Phone: 520-836-7776
Cell: 602-481-3967