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| Homeownership in Lexington, MA is a smart investment! |
If you are currently a renter in the Lexington MA real estate market, this summer may be the ideal time for you to switch to
homeownership! If you agree, contact me, your Lexington MA real estate agent. I
would love to guide you through the home-buying process and answer all of your
questions along the way. Investing in a home purchase is big! Use a reliable,
experienced agent to help you.
If you’re wondering why you should switch to homeownership,
let’s take a minute to discuss the state of the rental market right now. The
Wall Street Journal recently reported that the portion of income used for
financial obligations such as rent, the biggest one of all, has hit a high not
seen since the 1980s.
Rental prices have increased 18 percent over the last five
years! Rental rate increases have been outpacing inflation for decades, and
median rent has doubled in the past 20 years.
Common wisdom states that housing costs should be no more
than 30 percent of one’s income. However, for anyone working a minimum wage
job, they’d have to work 80 hours per week in Massachusetts in order to pull
that off! Many renters pay more than 30 percent of their income on rent.
There’s no end in sight either, for rental rate increases.
Rates have increased every month of 2017 so far. The national rent index has
already increased more in 2017 than it did in 2016.
Meanwhile, the cost of buying a home is, on average,
significantly less than the cost of renting! Home prices are rising, but
mortgage rates are still historically low, making homeownership the more
affordable option for many. On average, Americans spend 29.2 percent of their
income on rent. In comparison, Americans only spend 15.8 percent of their
income on a mortgage!
That is why, in Trulia’s latest Rent vs. Buy Report,
homeownership is now 33.1 percent cheaper than renting in the U.S., on average. Mortgage
rates would have to increase by 9.1 percent in order for renting to be the
better financial option. Rates haven’t been that night since 1995.
If you’d like to buy a Lexington MA home, don’t wait! Take
advantage of low mortgage rates and apply for for a pre-approval today. When
ready to begin your home-buying process in the Lexington MA real estate market,
contact me! As a Lexington MA real estate agent, I look forward to helping you!
Theresa D'Antuono
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