In a world of streaming and Amazon Prime, we have gotten used to instant gratification.
So it's no wonder some first-time home buyers hesitate before investing in real estate.
"I mean, aren't things really expensive right now?"
"Shouldn't I wait until interest rates go down?"
"My rent is about the same as my mortgage payment would be, and I don't have to fix any broken appliances."
I get it. Instant, short-term, quick wins are very tempting (and in a lot of cases, great options!)
But homeownership isn't a short game. It's not a shortcut to wealth. It's a long game.
You may not feel "wealthy" six months in, 2 years in, or even 5 years in. But over time, your home value will most likely appreciate significantly.
In fact, according to the Federal Housing Finance Agency (FHFA), in the last 30 years, home price appreciation has increased nationally at an average of almost 300%! This is why it's hard to find someone who regrets buying a home 30-20-even 10 years ago!
So what does this mean for you if you only plan on living in your home for 5 years?
Don't worry, this is for you, too!
The money that you make when you sell your house after five years can be rolled over and put down on your next house, and so on and so on, so no home purchase is ever in vain. It all leads to long-term wealth. As your equity increases, your net worth grows, and that money is yours, to upgrade to a larger home or a home in a more desirable location, or a property with more land, if you've dreamed of having your own space in the country! Or, you can use that equity to grow an investment portfolio of properties - short-term or long-term rental properties to pay yourself an income in retirement or sell in retirement when the value has appreciated and your equity is close to or at 100%!
Stick to Amazon Prime and Netflix for your short game and invest in real estate for the long game.
