The San Antonio real estate market is stronger than ever, but approximately 44% of residents still rent instead of buying. If you’re trying to decide whether you should buy take a look at the seven points below.
You’ll Get More for Your Money by Buying
In some areas of the country it makes financial sense to rent instead of buying – but San Antonio is not one of those areas. Every renter should know the price-to-rent-ratio of their area. This is a calculation that estimates the affordability of renting versus owning. A lower number indicates that a buying is a better bet. SmartAsset found that San Antonio has a price-to-rent-ratio of just 13.96, which is very low.
No Monthly Price Increases
When you get a fixed mortgage loan your payments will remain the same for the life of the loan. That means you won’t have to put up with rental increases. In San Antonio estimates show that rent increases about 4-5% each year.
When you buy you’re investing in your future because as your home appreciates so does your portfolio. San Antonio homes for sale have steadily appreciated over the years, and it’s considered a fairly stable market for people that plan to hold onto their homes.
Low Interest Rates Make Home Ownership a Good Investment
Right now the mortgage interest rates are still extremely low. The lower the interest rate is the lower the overall price of a home will be and the more equity you can build.
You’ll Get More Back on Your Taxes
Texas is already a very tax-friendly state since there are no income taxes. Homeowners that get to deduct their mortgage interest, points, insurance and energy efficiency upgrades look forward to tax season instead of dreading it.
Freedom to Make the House Your Home
Renting can be convenient for people that move around. But when you’re ready to settle down it’s nice to be able to fix up the home the way you want it without worrying about losing your deposit.
The Equity is There If You Need It
A home is an asset that builds equity the more it appreciates, which San Antonio homes are doing. That equity can be borrowed against or tapped into in the event you need to pay for college, unexpected medical expenses, purchasing an investment property, etc.