
Whether you rent or buy here in the Metro DC area, you pay for the house you occupy.
You must live somewhere and there's a price to pay for it. A simple analysis will show you whether it's cheaper to rent or buy.
Some people don't have a choice but to rent because they don't have the means to qualify for a loan. But for those who do have a down payment and good credit, they actually have a choice of whether to rent or buy. In some cases, owning will cost significantly less than renting.
Rentals are in high demand here locally and rents are going up. People who have experienced foreclosures and short sales have increased the demand for rentals as most times they cannot qualify for financing.These former distressed property owners are crowding out the usual renters – i.e. students, recent college grads, temporarily assigned workers and transitional residents. The first comparison a discerning buyer needs to make is whether the house payment is lower than what they'd have to pay in rent. A mortgage calculator will help you determine what your buying power is.
The next comparison needs to consider the other benefits that accrue to an owner such as principal reduction, appreciation and tax savings. These can dramatically weigh in favor of owning rather than renting.
Tenants have made the decision to buy a home. The decision currently facing them is whether to buy it for themselves or their landlord.

With interest rates at an all-time low and many lenders offering incentives for first time home buyers, we have a “perfect storm” for folks with decent credit scores who are tired of making their landlords rich. Besides, there’s something to be said for being able to paint your kitchen lime green, planting a vegetable garden or remodeling your ugly kitchenif that’s what you’re inclined to do to make your home your personal castle.
Recently I helped a first time home buyer purchase a condo in her “dream” building.Her financing, taxes, insurance and condo fee added up to less than she would have been paying to rent the same unit. She has a pride of ownership that can only be accomplished through homeownership.
If you're contemplating renting versus buying, I can certainly help you through this process.
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