Ever since the housing market collapsed a few years ago, people have become much more cautious about buying property and becoming a homeowner. It is a natural reaction to a situation where property values have fallen as much as 50% in some cases over their original sales price. However, real estate will eventually recover and owning property will once again be a wise investment, says Advantage Property Ventures, L.P.
Traditionally, owning property was the best investment the average American could make. In addition to having a place to call your own, over time, one could build up equity in that home. The number one goal of many homeowners was to pay off the mortgage and have peace of mind knowing that you would always have a place to live. The other main goal was to build cash value so that if you ever decided to move you could make a handsome profit on the sale of your home.
While home ownership does come with its share of expenses, it also offers one of the best tax deductions still allowed by the Internal Revenue Code. Since interest is still a deductible expense for tax purposes and there are also other deductions associated with home ownership, the cost to the homeowner is roughly the same as renting a similar-sized property.
Today, with so many houses in foreclosure and so many more being sold as short sales, the opportunity to get a fantastic deal on a home you can call your own is incredible. Imagine paying half price on a home that was once selling for a million dollars. You will get a beautiful home that you could never build for that amount today and eventually, the market value of the home will return to a much higher price. Other people’s misfortune could be your opportunity. While you may feel bad that someone is losing their dream house, let the emotions go. It is just business and the homeowner you buy the distressed property from will probably bad to be free of the stress of trying to pay the mortgage.
It is certainly a buyer’s market for real estate all across the country, according to Advantage Property Ventures. In markets like Miami and Las Vegas, there is so much excess inventory and distressed housing that you can have your choice of thousands of desirable properties. Assuming that you are financially stable and can qualify for a mortgage, now may be the best time to own property.
Advantage Property Ventures, L.P. 