For those of you that have been paying close attention, rents in Highland and West Highland are on the rise. That’s great news for those of you that own, or plan to own rental property, and certainly a great topic for a future Nostalgic Homes Newsletter, but not great news for you renters out there.
How do a lease and a mortgage compare? According to HotPads.com, the median rent in Highland and West Highland for a 3 bedroom home is $2496/mo. There are 112 3-bedroom detached homes for sale in zip codes 80211 and 80212, which is comprised of both Highland and West Highland neighborhoods, with a median price of approximately $322,000. According to Matthew Hibler of Cherry Creek Mortgage, with 10% down and approved credit, that would equate to a monthly mortgage payment of approximately $1797/mo including principal, interest, mortgage insurance, home owner’s insurance, and taxes – the whole enchilada! And, if you are working with a Nostalgic Homes Buyer Agent, approximately $2500 in appraisal, underwriting, and processing fees will be waived at closing. Yep, that’s another $2500 savings to you just for using a Nostalgic Homes Broker!
Are there any tax benefits to home ownership? Yes, of course! A homeowner you can typically deduct monthly mortgage interest from their gross income, which, depending on your tax bracket, this could be a substantial windfall every year. Talk to your tax advisor more details.
Will my home gain in value? If you’ve been holding out for prices to go down before you buy, that ship has sailed. Residential home prices in Northwest Denver over the last twelve months have risen 3.5% over the previous year, and up 9.3% over 2008-2009 pricing. Even if interest rates remain the same for a while, and they may, the desire to live in Highlands and West Highlands continues to gain momentum. Appreciating home values are a natural consequence. That appreciation is yours to exercise as you see fit.
For those with reasonable credit and as little as 3.5% for down payment, buying makes far more financial sense right now than renting, hands down! Call Nostalgic Homes direct at 303-455-5535 or contact us at www.nostalgichomes.com now for more information.