Why It Is A Good Idea To Buy A Mansfield Home - by Tom Brewer

Why It Is A Good Idea To Buy A Mansfield Home

Many potential Mansfield homebuyers may not be aware of the fact that, generally speaking, a home appreciates about four to five percent per year? It is true and while the appreciation rate can vary year to year and from area to area, buying a home is a good thing to do.

Five percent may not sound like a lot but you could quite easily earn the same return as you could with a safe stock investment or by investing in treasury bills or bonds. Financial advisors around the country acknowledge the fact that buying a home is a great investment.

Let's say that you bought a Mansfield home that cost $100,000. We will also assume that you did not pay cash but that you got a mortgage and that you put down 20%. That would be an investment of $20,000. With the five percent appreciation rate a $100,000 home would increase in value by $5,000 during the first year. This means that you earned $5,000 with your $20,000 investment. Your yearly ROI therefore is a big 25% which is certainly nothing to scoff at.

Naturally you are making the mortgage payments and paying the taxes as well as paying for the upkeep and maintenance on your home. But, considering the fact that the interest on your mortgage and your property taxes are both tax deductible, your home is essentially being subsidized by the U.S. government. Go to www.tombrewerjr.com for more information.