Over the past few decades, the way we view homeownership has changed. Unlike previous generations who bought a home with a 30-year mortgage and celebrated the day they made their last payment, today’s home buyers rarely stay in their home that long. As a result, the way we view mortgages has changed as well and often buyers are not building the equity in their homes the way we used to. But there are benefits to building equity and paying down the loan! We work with many home buyers looking to diversify their financial portfolio with real estate in Asheville, NC.
Here are just a few benefits of growing equity in your home!
Having equity in your home gives you the flexibility to move if you need to or just want to. For homeowners who plan to either buy a large home or perhaps downsize, having equity allows you to not only put money down on a new loan but pay for moving, closing costs and other relocation fees.
Life is full of unexpected expenses – job loss or relocation, unexpected illness or accident, natural disasters – the equity in your home can help you navigate these unexpected costs with a line of credit or the proceeds from a sale. Having a safety net is always important!
Many homeowners over the last couple of decades have found themselves underwater in their homes—meaning they have negative equity. By either making additional principal payments on the loan or reaping the effect of higher home values, building equity can help create wealth and turn a negative asset into a positive one!
Homeowners might not plan to stay in their homes as long as their parents and grandparents, but there are still great reasons to focus on building equity in their homes. A home is an asset, and treated properly is a wealth-building tool, unlike any other option.
About Asheville Realty Group
Asheville Realty Group is a boutique brokerage firm offering full-service real estate services. We have locally experienced agents who specialize in residential homes, luxury homes, country-side acreage and everything in between. We love Asheville and the surrounding mountain communities that we call home!
Get in touch with us today by filling out the form below or give us a call at 828-252-1910