First Time Home Buyers! How to Prepare to Buy Your First Home.

One other thing that most people don't really think about, especially if you're renting. Well, let's just say, for mathematics, simple, your mortgage, or your rent is $1,000 a month, and you want to wait one year. So, you just paid $12,000 In one year to somebody to live in that place. What could you do with $12,000? Rick?

You can do a lot, but it's even worse than that. Because it's $12,000 in rent, and they also the equity they would have received. If the $200,000 house, they lost $30,000 in equity. So, we're now at $42,000 that they don't have Yep. Now it's probably not exactly that, because you still had to make a mortgage payment. But that mortgage payment if you paid $1,000, mortgage payment, a couple $100. That's probably going towards the principal. So, I mean, it's it is having a home is hugely beneficial. And I remember reading and I don't remember the exact number. But the net worth of somebody who is a renter compared to a homeowner, the difference was like $500,000, it was, it was incredible. One of the ways to have financial freedom is through your own home. It's just it's a critical piece. Additionally, you know, you said $1,000 a month, but homes are increasing in value at 15%. They said rents increased by 17%. Correct. So, your rent is going to increase faster than the appreciate appreciation. So, your rents gonna go up rents a negative thing faster than the appreciation that you would get if you just owned a house, which is a positive thing. So, it's good. If you buy a house, that's great to live in. It's also great if you want to buy a non-owner-occupied property or rental property because the rents are going way up.