Why buy a house?

I promise this is my last post for a while on the economy or real estate. I'll get some new material but I'm just passionate about helping, informing and educating people in real estate because this is what I do.  Let me first vent for a moment by saying I had a gentleman tell me the other day he would use me to list his home. I was excited as I enjoy listing homes and the process of it. I quickly realized he was dodging my calls and I found out why - he listed with a very large real estate agency that makes a lot of promises on the radio but does not always follow through.  I went to see the listing and lo and behold - there were not even pictures posted.  The first 24 hours are crucial to a listing as it gets on the Hot Sheet for my fellow agents and we see the new listings. No Pictures - no interest - no buyers. When you are ready to move allow me to to go over with you my 25 point marketing strategy or I can even email it you.

My friend and my own personal mortgage lender put out a newsletter about why buying a home is a good thing.  

Lorcan LuceyPresident Lucey Mortgage Corporation Phone: 843-884-8133 Cell 843-224-3650 lorcan@luceymortgage.net www.luceymortgage.net

Financial Reasons to Buy There are a number of personal and emotional reasons to buy a home. But there are also some strong financial reasons to make the investment. Here are just a few of those reasons to share with your clients: Increase Net Worth: Few things have a greater impact on net worth than owning a home. In a comparison of renters versus homeowners, the Federal Reserve Board of Consumer Finance found that the average net worth of renters was just $4,000 compared to homeowners at $184,400. A Big Tax Deduction: One of the largest tax deductions available is the amount of interest paid on a mortgage. In fact, a $150,000 home at a 5.50% interest rate can add up to approximately $8,000 in first year's interest. This amounts to a significant savings – effectively reducing the amount of a homeowner's monthly mortgage payment. Long-Term Appreciation: Over the last few years, home prices have corrected and become more affordable. While that's good news for potential buyers, it has overshadowed the long-term appreciation of a home's value. The reality is, despite market ups and downs between 1950 and 2002, US home prices appreciated at an annual growth rate of 4.8%. Even if you calculate a modest appreciation of 3%, a home purchased today for $150,000 will grow in value to $364,000 over 30 years.

Mortgage Interest Rates*

Rates as of Friday, 29th April, 2016:

Term Conforming APR Payment per $1,000 Jumbo APR Payment per $1,000 30-YR Fixed 360 3.625% 3.71% $4.56 3.875% 3.92% $4.70 15-YR Fixed 180 2.75% 2.82% $6.79 3.5% 3.59% $7.15 HomePath 30 FIX 360 3.875% 4.41% $4.70 -% -% $0.00 FHA 30 FIX 360 3.25% 4.12% $4.35 -% -% $0.00 VA 30 FIX 360 3.25% 3.51% $4.35 -% -% $0.00 *Rates are subject to change due to market fluctuations and borrower's eligibility. Payment amounts do not include amounts for taxes and insurance. Actual monthly payment could be higher. For professional use only. Not intended for consumer distribution.

Rates Assume 20% down, excellent credit, primary residence and 30 day rate quote. FHA assumes 3.5% down on $335,000 Sale Price. VA assumes first use on $400,000 Sale Price. The above quotes have 0% points and 0% origination fee. © 2016 Vantage Production, LLC. All rights reserved.