Afonso Real Estate

Posted by Afonso Real Estate on 12/23/2015

For the past several years there has been some confusion over whether it has been a better deal to rent or buy a home. Buying has always been the best long term investment. With the changes in the market it is now clear that in almost any situation buying is the best bet. Rents over the past few years have been on the rise and the demand for rental housing has been shrinking rental availability raising the rents and the competition for acceptable units. Rents have been increasing at about a rate of 2.5 percent a year while home prices have been dropping at about 3.1 percent a year. This makes buying a much better option. Lately, there has been an uptick in the home buying market and in some price ranges inventory is low for prospective buyers. Because prices and mortgage rates remain at all-time lows this is a perfect time to get out of a rental and into your own home. If you are looking for some hard numbers on your own personal financial picture the New York Times has an easy to use calculator that will help you determine how much you will save by buying a home. Click here to use the calculator.

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Posted by Afonso Real Estate on 3/11/2015

More and more millennials are getting into the housing market. A survey by homebuilder PulteGroup found that 65% of those who make more than $50,000 a year reported increased interest in buying a home. The recession has forced Generation Y, roughly those age 18 to 34, to delay buying homes. Now millennials are now entering their thirties and the cost of buying a home is now becoming a reality. While student loans and financial resources are keeping some younger people from the housing market many others are realizing that in many cases owning a home is cheaper than renting. The survey also reported that millennials know what they want in a home: 84% listed storage as a priority was ample storage                 76% want space for TV and movie watching                                                                           69% desire an open living/room kitchen layout                                                                             63% look for outdoor living or a deck                                                                                               36% cited the ability to work at home Other recent studies have affirmed the PulteGroup study and have shown that 90% of millennials plan to buy a home someday keeping the dream of homeownership alive.                                                    

Posted by Afonso Real Estate on 7/30/2014

Owning a home is a dream come true for most people. To them, it is living the ideal life, for others, it is the worst decision they will ever make as far as their finances are concerned. The reason for this is that there was no proper in-depth analysis before they made the purchase. Many questions come to mind when it comes to owning a home, questions like, do I really need a home? Will I stay in this home long enough to reap the benefits of owning it? Am I ready for the financial responsibilities associated with owning this home? Owning a home is a major financial investment and should not be done without a proper understanding of all aspects of ownership. Below is a  look at the pros and cons of owning a home, this should help prospective home owners determine if owning a home is in their favor. Pros and Cons of Owning a Home There is the need to consider the financial impact owning a home will have on you. Would being a home owner have a positive effect on your financial position? Let us look at the advantages and disadvantages from a balanced point of view before arriving at a conclusion. The Pros

  • As a home owner, you have greater privacy.
  • There is a great possibility that your home will increase in value.
  • You tend to have a stable cost as compared to renting because most mortgage rates are fixed.
  • Interest and property tax portion of your mortgage is tax deductible.
  • There is pride and a healthy self-esteem associated with owning a home.
The Cons
  • The financial commitment associated with owning a home is long term.
  • All maintenance related expenses associated with your home is your responsibility.
  • When you own a home, you are more likely tied to your community making it more difficult to suddenly relocate.
  • When buying a home, there is a down payment, mortgage payment and closing cost.
  • If you do not make the mortgage payment, your home can be taken by the bank.
  • There is no guarantee that the value of your home will increase.
Pros and Cons of Renting a Home The Pros Depending on your financial standing, renting a home might be a preferred option. Here are a few pros and cons associated with the renting.
  • It may be a cheaper option than buying a home with comparable size. Your rent might also cover the monthly utilities.
  • It affords more flexibility especially when you have a job that requires you to move from place to place.
  • Maintenance expenses are not on you. The landlord is responsible for all maintenance from plumbing to electricity as well as other expenses associated with household repairs.
The Cons
  • You are not entitled to a tax break. When you file for a tax return, you cannot claim deduction for property tax and mortgage.
  • Your rent is not fixed and there is the possibility that it would increase from year to year.
In summary, there are several factors to consider when deciding whether or not to buy a home as ownership is not for everyone. This important decision should be based on your present financial status, the nature of your job and what plans you have for the future.

Posted by Afonso Real Estate on 11/6/2013

Living in an apartment can sometimes be a frustrating experience. Paying rent every month makes you feel like you are throwing money away. Today's housing market makes it a great time to buy and in some cases you can buy a home for less money than you are paying in rent. Living in an apartment with tenants above or below you in some older apartments can be noisy. Single family homes do not have this problem, as none of the walls in your home will be attached to any other home in your neighborhood. This in turn means that you will have more privacy, and more importantly, there will be less noise coming from your neighbors, no matter what time of the day it is. Another reason why owning your own home is so great is because you will generally have your own yard, allowing you to have outside furniture, gardens and entertain which can be harder to do in an apartment When it comes to shopping for a home, it is important that you do a good amount of research beforehand. While single family homes do have a lot of advantages, you have to make sure to take your time and find that perfect home for you. Some things to think about is location, neighborhood, schools, and being close to amenities like shopping, restaurants or other places that may be important to you. One of the best ways to research for homes is on this website. This website is updated every 15 minutes with new listings, price changes, back on markets and open houses. This will allow you to easily browse through homes for sale until you find the perfect home for your needs. Bottom line is buying a home today can be a great invest down the road and can come with a lot of benefits over renting. Feel free to call if you would like help in buying or selling your real estate.

Posted by Afonso Real Estate on 3/6/2013

Year after year, study after study, good market, down market the story is always the same...owning a home is a good investment. Not only does it build wealth but it also provides many psychological benefits too. A survey released earlier this year by the magazine Better Homes and Gardens found that eight in 10 respondents said homeownership is still a good investment and believe owning a home is a smart financial move and a source of pride. Here are some results of the 2,500 people surveyed online:

  • 86% of home owners still feel owning a home is a good investment.
  • 85% feel “owning a home is one of their proudest accomplishments.”
  • 69% of Americans who don’t currently own a home agree with the statement, “No matter what happens in the U.S. housing market, owning a home is still an important goal in my life.”
  • 68% of Americans plan to spend money on their homes in the next six months, with roughly half (49%) expecting to pay up to $1,000.

Categories: Buying a Home   Real estate