Should you buy or rent? Don’t look to statistics for a definitive answer. Large groups have large variations. Take the median net worth for example. The most recent stat I found has the median net worth for all Americans at about $122,000, add owning a home and it jumps to around $255,000, and for renters the median net worth is just $6,300.  That makes the case for buying, but what if age is added to the mix?

     About 38% of Americans under 35 own the home they live in, compared with 80% of people over 65. People under 35 have a median net worth of about $14,000, the 65 and older group have a median net worth of a bit over $260,000. From these numbers it looks like your best bet to gain net worth is to just get older. Hoe about I add location.

     In New York city over 68% of households rent, Los Angeles over 60%, and about 46% in Detroit. Compared with the national rate of about 36% of households renting. Lots of factors go into what makes a location buyer friendly.  Things like cost of living, the housing make up, jobs and transportation options.

     My advice for anyone questioning if they should buy or rent would be down to one question, can you commit to maintaining the investment of a house? The only difference between a rent payment and a house payment is who the investor is, the landlord or yourself. All investments have risk, but historically the risk of real estate is fairly low.

     If you have any questions about becoming a first time home buyer please contact me and I can help you invest in your future.