Renting or Buying A Home

The biggest disadvantage to renting
If you’re a Millennial—or have a son or daughter who is a Millennial—you’ve probably had a discussion about renting or buying a home. It can be a hard question to answer, especially with the steadily-rising prices of houses.
However, there are clear disadvantages to renting:
  • Someone else controls all the rules, not you (such as whether you can have a pet).
  • You’ll see a steady increase in rent over time.
  • Zero tax advantages.
  • You have no say if your landlord wants to move into your place or sell to someone else.
The biggest disadvantage: You give away your money. Renting means you never will have the chance to build equity in a home. Instead, you give that opportunity to your landlord.
How you can help your kids buy a home

Have you ever wondered if there’s a straightforward way to help your kids buy a home? Well, there is, and it’s one of the oldest programs available: An FHA loan.

Your best bet is to work with a local mortgage lender to walk you through the specifics, but here’s how it generally works:

A parent and child can be co-borrowers on a FHA loan, even though the parent won’t live in the home. Normally, FHA would require a 25% down payment for what is called a “non-occupying co-borrower” loan.

Together, co-borrowers who are related by blood, law, or marriage are eligible for 100% of the maximum FHA loan they qualify for with the low-down payment features of the FHA loan.

Why robots will never replace real estate agents
Renowned scientist Stephen Hawking may worry about robots advancing beyond humans, but real estate is one industry where you won’t see robots replacing workers.
The real estate industry remains a relationship-driven business, involving the biggest purchase decision in most people’s lives. Human involvement, empathy, and intuition are incredibly important components in delivering a good experience for those searching for their first, second—or even fifth—home.
That’s not to say technology isn’t valuable. Technology is making agents even smarter, allowing them to gather information, communicate, and deliver answers faster for their clients.

 

 

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