The Austin American Statesman tried to answer this question in Saturday’s paper, and frankly failed to come across with a concrete answer either pro or con. Final answer, it is an individual situation with no single right answer. The article was full of facts but that didn’t bring any decision making answers. The facts are: 1) from 2003 to 2013 home prices increased 43% that’s good if you own a home or like many of us own residential rentals 2) rents increased 50% from 2004 to 2014 and that is great if you are like me and own residential rentals 3) from 2004 to 2014 income increased 9% (ouch!) 4) this is no four!
As stated in a previous post, Duetsche Bank has a report that Austini renters spend 5% less for housing than homeowners. That’s nice, then Trulia reports that buying is cheaper than renting in the nations 100 largest cities. The difference, Duetsche uses 5% down and Trulia uses 20% down.
So pick whichever answer you like! It has been own personal experience that buying a home is a great investment for both a domicle and for an investment. And with rents so high, and continue to risie in the forseable future, coupled with appreciation, well what are you waiting for – buy something!
Please contact our Austin property management experts at ALPS if you’d like to learn more!
Mike Ebert
Karen Ebert
Marc Witmer
Mike Gonzales
Shelly Longoria
Clayton Orr