Affordability has a shelf life

Dated: January 30 2021

Views: 5

Speaking with prospects who don’t yet own real estate, I often contrast mortgage payments, which remain the same for decades, with rent, which often increases with each passing year. Some people think this difference doesn’t apply to them, because they’re living with parents, or have a special deal that keeps their rent well below market values. That kind of circumstance can be a seductive trap, because even if one has found a pleasant eddy in the marketplace river, the flow will eventually catch up with you. If you’re smart, you can take advantage of a favorable housing situation to get ready to buy—just make sure that you’re not lulled into complacency. If you delay owning a home for too long, you may find yourself priced out of living in the area where you want to be. If you spend too much time on the losing side of increasing property values, the option to purchase or even rent in the area you think of as home can disappear.

Blog author image

DAVID DUNLAP

As a residential real estate executive with an extensive background in corporate marketing, I am able to apply unusually strong skills in marketing communications, e-marketing, strategic planning and ....

Latest Blog Posts

Fortune favors the bold

Selling your house and moving to a new place is a major milestone in a person’s life, yet strangely many people seem to start the process with an objective of avoiding as much disruption as

Read More

An opportunity you shouldn't miss

When I set up an appointment for the home inspection at the beginning of escrow, my buyer clients frequently ask if it’s necessary for them to be there. The answer is that their presence is

Read More

Renting vs. Owning: how to add it up

I’m holding an open house at an entry-level condo this weekend, so I polished up one of my older fact sheets to share with first-time buyers. It’s a series of spreadsheets you can use to

Read More

Start packing!

Most people start packing and getting rid of non-necessary belongings somewhere toward the end of escrow, when it has become clear that they really are going to move. Shifting that task to the front

Read More