Owning Vs. Renting Homes in West Virginia
It’s Summer 2015, and if Spring has shown us anything, it’s that buying a home is more profitable, affordable and economical than renting one.
Get a Hold of This:
- One in five West Virginians is living in a home they cannot afford, according to statistics from the West Virginia Housing Trust Fund
- A single mother needs to work an average of 66 hours per week to afford fair market rent in WV
- Fair market rent for a 2-BR home in West Virginia hovers at $700/month
- There are no tax deductions for renting
- The benefits of home appreciation do not impact renters
- It is impossible to build equity as a renter
- It is currently more than 30% cheaper to buy than rent, according to stats from Trulia
Ready to ditch that apartment or rental unit you’re living in yet? If not, basically, you’re throwing away your money. Why pay $700 per month to live in a 2-BR apartment or townhouse when you can pay $500 per month to live in a 2-BR home you can call yours?
The Problem of Credit
- Problem: I don’t have the credit the bank requires for a mortgage loan
- Solution: Either build your credit or get a cosigner who has great credit
Not every home buyer has great credit. However, every home buyer has friends and family who does. If you want a home bad enough, you’ll do what is necessary to make your dream reality.
A Wise Investment
If current trends in the West Virginia housing market continue, we can expect to see values for residential dwellings rise. Having said this, buying a home is not only a good investment that can yield returns for you, but in the long run, it can save you money. How so? The answer is simple: When values rise, tenants often pay for the increase, while homeowners sit back and pay the same monthly payment they always have (+/- escrow).
In an apartment, townhouse or rental unit, you’re stuck with your landlord. If they decide to raise rent, you must oblige. Also, forget painting the home, updating the kitchen, flooring, landscaping and all the things homeowners do to personalize their home. In a rental unit (more often than not) you’re stuck with whatever the landlord desires.
We know the economy isn’t the greatest. We know it isn’t simple to get approved for mortgage loans, however, it isn’t impossible either. Savvy home buyers will find and finance a home with a mortgage payment that is far less per month than their current rental unit is. If history holds true, rental payments will always be more than mortgage payments.
Your Steps to Success
1.) Build your credit or find a cosigner with great credit
2.) Find a home that suits your needs and budget
3.) Contact your local realtor
4.) Begin your journey into homeownership
In closing, we understand homeownership isn’t for everyone. Some folks simply desire to be renters. That’s ok. But, at River Valley Properties, llc., it is our desire to save people money and help them prosper. If we can do that by helping you find and finance a home mortgage, then we’ve succeeded.
Every person reading this deserves a place they can call home. Let us help you accomplish that goal today.
By Chuck Boggs
Owner, River Valley Properties, llc.