If you are on the fence about buying a home, consider this: waiting to buy could cost thousands in accumulated wealth. According to a recent realtor.com® report, the financial penalties of delaying or forgoing on a home purchase have become very steep – the average buyer is estimated to gain $217,726 (in today’s dollars) in wealth over a 30-year period.
Although some markets are more buyer-friendly than others, national data shows homeowners see significant financial benefits as compared to lifetime renters. In nearly 90 percent of metro areas, buying a home produces a financial benefit of at least $100,000 over 30 years.
“This analysis looks solely at the financial reasons to buy a home, based on assumptions about rising mortgage rates and changes in home values,” realtor.com® Chief Economist Jonathan Smoke says. “It’s important to remember that a home purchase decision is deeply personal. Potential buyers need to consider factors such as upcoming life events, job security and potential relocation, in addition to financial benefits, because they too can have a significant impact on ownership.”