The single biggest mistake renters make in Nashville
The average homeowner today has 38X more wealth than the average renter.
That’s so huge that you may not believe it. So let’s look at the numbers. The average rent in Nashville for a two-bedroom apartment is currently $1,450 per month. For the ease of calculation, let’s assume that your rent never goes up for the next 30 years.
$1,450 per month X 12 months X 30 years = $522,000
Wow! Now, let’s look at the opposite scenario. You could purchase a $250,000 home for about the same payment as you would make on that rental. At the end of your loan, you would now owe that home free and clear. You could live in it the rest of your life without any mortgage payments.
In the last 15 years, the median sales price in Nashville has jumped from $139,000 to $300,000. And that’s after going backward 9.8% during the mortgage crisis. Imagine how much that $250,000 home is going to be worth in 30 years.
One of the concerns that I hear is that young people don’t want to live where you can buy a place for $250,000. Or that they don’t want to live in a condo and instead want a home with a yard.
I totally get that.
Just don’t kid yourself on choices you are making. Because the trade-off for a convenient location for the next 30 years is this. You’ll spend a minimum of a half-million dollars and have absolutely nothing to show for it.
That’s freaking scary!
And it would make me furious to think that I just paid the mortgage for my landlord and now he owns it free and clear.
Home appreciation is exactly why the average homeowner has 38X more wealth. You don’t have to believe me, you can check out what CNBC had to say about the same topic.
If you want to change your life forever, then message me. I’ll help you find a home you’ll love at the same price you pay the landlord.