In today's market there are a lot of questions about whether renting or buying is better. Here is a little scenario about the differences. If a couple currently rents a 3 bedroom town home for $1500 per month, it is better for them to buy than to rent. Consider this, if they were to buy a $300,000 townhome and put a 5% down payment, their monthly payment would drop to $1345 per month and they would end up paying almost $30,000 down on the mortgage in 5 years. Even if the market were to not change at all, that is $30,000 of forced savings in the form of equity. If they were to continue renting, the couple would spend $90,000 and have nothing to show for it at the end of 5 years.
With interest rates inevitably rising in near future, this is the perfect time to secure a low interest rate for a home purchase. Lenders can hold rates for up to 4 months so that shopping for a new home can be easy. Knowing the numbers upfront saves everyone from stress and disappointment, and working with a mortgage broker is a free service! Call us today and we can have your clients pre-approved in less than 24 hours.
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