Pacific Communities Builder

STILL RENTING?
Why throw your money away?

Learn more about the advantages of buying a new home.

Rent Versus Buying

Real Estate is Still the best investment!

Enjoy Ownership and Freedom
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In this ever-changing housing market, the decision to rent or buy is at the top of most people’s mind. When it comes to deciding what is most important to you, keep these points in mind:

  • Financial Consideration
  • Customization
  • Investment
  • Financial Consideration and Investment
    1. Homeowners can write off a portion of their mortgage payment as tax deduction. 
    2. Homeowners build equity wealth over time. In the last decade prices in CA increased on average 8% (All-Transactions House Price Index for California. (CASTHPI) | FRED | St. Louis Fed (stlouisfed.org)
    3. Homeowners’ mortgage payments in a fixed-rate mortgage remain the same during the life of the loan while rent most likely increase.
  • Customization and Freedom
    1. Homeowners enjoy a sense of stability without being subjected to the landlord’s will.
    2. Renters, in most cases, are very limited in terms of changes stated in the lease such as ability to customize the home or to bring in a pet.
    3. When owning a home owners have the freedom to do whatever they desire in terms of customization

In 2019, homeowners in the U.S. had a median net worth of $255,000, while renters had a net worth of just $6,300.* That’s 40x the difference! Your monthly rent payments are gone forever, but monthly mortgage payments build equity in your future*.

Should you rent or buy? Here’s a calculator to help you make the right decision.

Rent Vs. Buy Calculator
* CNBC (https://www.cnbc.com/select/average-net-worth-homeowners-renters/)
(Appreciation Gain + Amortization Gain + Tax Benefit) – (initial closing costs + cash flow difference between rent and mortgage + cost to sell) = Net Gain. Calculations generated by MBS Highway. †The information contained herein is distributed for educational purposes only. This is not an offer to enter into an agreement. Fairway does not guarantee a mortgage loan will result in equity gains or tax advantages. Any potential benefits from homeownership are based on individual factors. Contact your Fairway loan officer for more information regarding your specific situation. ††These figures and interest rates reflect a hypothetical scenario of a 30-year fixed FHA mortgage loan with a 3.5% down payment. This example scenario is for educational purposes only and does not reflect an official mortgage loan offer. **Appreciation gain is an estimate based on a 4.5% year over year increase in property value. ***This advertisement does not constitute tax advice. Please consult a tax advisor regarding your specific situation.
Home and community information, including pricing, included features, terms, availability and amenities, are subject to change at any time without notice or obligation. Not all features available in all plans. The specific features in a home may vary from home to home and from one community to another. We reserve the right to substitute equipment, material, appliances and brand names with items of equal or higher value, in our sole opinion. Color and size variations may occur. CA DRE License #02129925; Contractor’s License #660968.