This buy vs rent breakdown example offers a good graphical representation of why it’s advantageous to buy a home rather than rent. Historically, aside from a few isolated timeframes when property values declined or were flat, property appreciation has been a constant. The homeownership acts as both an accumulation of equity/wealth and as an inflation hedge against escalating rents.
Another option to make the numbers even better is own your home, and have an Accessory Dwelling Unit (ADU) or Guest House as a rental. It’s a great way to lower your overhead, and have rental income. The government has made it much easier to develop ADUs in residential neighborhoods over the past couple of years.
If you want to have a personal analysis done using specific numbers, drop me a line.
If you are in the Los Angeles area, have any questions or real estate sales or financing needs, feel free in contacting me
Ron Henderson GRI, RECS, CIAS
President/Broker
Multi Real Estate Services, Inc.
Gov’t Affairs Chair – California Association of Mortgage Professionals (2017-2018)
Chairman – OutWest Marketing Meeting (Real Estate Education)
BRE #00905793 NMLS #310358
www.mres.com
ronh@mres.com
Specialist in the Art of Real Estate Sales and Finance
Real Estate market, mortgage rates, Los Angeles, San Fernando Valley, Conejo Valley, Simi Valley, Woodland Hills, West Hills, Calabasas, Chatsworth
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