Want To Increase Your Family’s Wealth? Here’s How!
Everyone should realize that unless you are living somewhere rent-free, you are paying a mortgage – either yours or your landlord’s. Buying your own home provides you with a form of ‘forced savings’ that allows you to use your monthly housing costs to increase your family’s wealth.
Every month that you pay your mortgage, you are paying off a portion of the debt that you took on to purchase your home. Therefore, you own a little bit more of your home every month in the form of home equity. As your home’s value increases, you also gain home equity.
Every quarter, Pulsenomics surveys a nationwide panel of over 100 economists, real estate experts, and investment and market strategists. They are asked to project how residential home prices will appreciate over the next five years for their Home Price Expectation Survey (HPES).
The latest data from their Q1 2019 Survey revealed that home prices are expected to round out the year 4.3% higher than they were in January. For the next 5 years, home values will appreciate by an average of 3.21% a year.
This is great news for homeowners!
For example, let’s assume a young couple purchased and closed on a $250,000 home in January of this year. Simply through their home appreciating in value, those homeowners can build their home equity by over $40,000 over the next five years.
Let’s look at the potential equity gained over the same period of time at some higher price points:
In many cases, home equity is a large portion of a family’s overall net worth.
Have you had any thoughts of selling or buying in 2019? If yes, let’s get together to help you understand where prices are headed in our area. Call/text for a free consultation (984) 833-9233. Also here is a complimentary absolutely free Home Value Estimate tool as a token of my appreciation to all readers.
Author:Brian Hargrove Phone: 919-830-5233 Dated: March 21st 2019 Views: 183 About Brian: ...
View our latest blog posts in your RSS reader. Click here to access.
Grow Local Realty is a full service Raleigh NC Real Estate Company servicing Raleigh, Durham, Cary, Apex, Holly Springs, Clayton, Fuquay Varina, Garner, Wake Forest, Chapel Hill and all other Triangle areas including all of Wake County, Johnston County, Durham County, Orange County, Chatham County and Harnett County. We are dedicated to extraordinary customer service and are here to represent you with your next home purchase or the sale of your current home. Allow one our fantastic agents to assist you with your Raleigh NC Real Estate search.
Does Your Home Have What Buyers Are Looking For?There’s great opport
"Christine helped us buy our first home and could not have been better. She was extremely attentive, and timely with all of her responses. We absolutely needed her help with a difficult sale and multiple negotiations and she was always available to answer any questions or concerns we had. She went above and beyond all of our expectations for a realtor, especially as new home buyers. We will definitely be using her again for any future home buying/selling!!"