To Rent Or Not To Rent: That’s The Question
The real estate market is en fuego with single family homes selling for way more than their purchase price a mere two years ago. Every day people ask me, “This can’t last, right?? Should I sell now while prices are up, and then rent something, and then wait for the market to crash before buying again??”
Renting. You’ve thought about it. Admit it.
Not gonna lie, the idea has crossed my mind too. But here’s the thing: What if there is no crash? While the future is unknowable, I haven’t seen anything to suggest there will be another crash à la 2008. Mortgage companies have gotten much stricter about who they will lend to, so millions of foreclosures leaving behind zombie neighborhoods is a thing of the past.
At Palermo, all our research points toward an eventual leveling of prices, meaning homes may not appreciate as fast as they have been. But as anyone will tell you, homes appreciate—and South Tampa homes are certainly no exception.
HATERS GONNA HATE. HOUSES GONNA APPRECIATE.
Putting your money into something you can sell later for more money is always better than paying big money for something that’s guaranteed to bring you nothing when you’re done with it. Equity is like the savings account you don’t know you have until the time comes to cash out.
See for Yourself: Rent vs Buy Calculator
So my fantasy of luxuriating in a rented beach condo while waiting for the bubble to burst will have to wait, because if I sell my house now, I could be waiting so long that my nest egg bursts instead!
I think I’ll upgrade that fantasy to *buying* a beach condo.
Christy Rosen Clement is a Pricing Strategy Advisor®, Seller Representative Specialist®, Military Relocation Professional® and REALTOR® at Palermo Real Estate Professionals in South Tampa
