Before the housing boom went bust this year in the city of Miami, homeownership was considered a good investment. But now, with the rash of mortgage foreclosures, renting may be a more attractive option. There are many rent to own homes Miami, FL that you may want to take advantage of. Why, you ask? Here are four good reasons:
1. Renting can save money
According to popular myth, renters are just throwing their money away. But the reality is that when you buy a home, you’re paying for closing fees, mortgage interest, property taxes, private homeowners’ insurance and maintenance — costs that return nothing on your investment. You’d be better off banking that money or putting it into the stock market. In fact, a recent study indicates that stocks provided investors with nearly 4.6% higher average returns in the past 45 years than real estate.
2. Homeowners’ tax deductions are overstated
Conventional wisdom says that buying a home saves you money because the mortgage interest is tax-deductible. But another study points out that half of homeowners don’t get a break, because even with mortgage interest and property taxes, their total deductions do not exceed the standard federal tax deduction ($10,900 for couples and $5,450 for singles).
3. More options are available to renters
With fewer houses and condos selling, more owners are converting their properties into rentals or providing incentives to lure prospective tenants. In condo-heavy cities, the vacancy rate has jumped 2.5%. Investors are undercutting apartment rates to generate interest. A lot of people are offering three free months to attract renters. And modern apartments offer amenities that may be unaffordable in a new home.
4. Renting gives you flexibility
Buying a home is a big commitment. If you have to move for any reason — say, for work — your property would need to appreciate by at least 10% for you to recover your sales costs, which typically takes about five years. Renting allows you the freedom and mobility you need to find the right job before you tie yourself to a massive home investment.
This is not to say that buying homes is not a good thing. In fact, it will always be the best achievement in a person’s life. What I am trying to say is that you should always think first before you do something. The same thing applies to rent to own homes Miami, FL. You want to make sure that you will benefit in the long run. In this case, it is definitely possible given the four reasons above.
With rent to own homes Miami, FL, you get to try first the neighborhood and the property itself. Then, you can decide whether or not you will buy it. This does not happen when you purchase a home because you cannot try it even just a day. Nevertheless, if you know what you want, I suggest that you go ahead and take a look at our properties for sale. You can also specify your needs and requirements so we can help you find the best home for you.