Since the beginning of the year, news outlets have been reporting on the historically low loan rates being offered by mortgage companies across the nation. With rates so low, many homeowners have sought to refinance their current home loan, while more and more renters are considering making the jump to home ownership.
One of the chief advantages of the current low interest rates is that for many individuals, making the jump from monthly rent payments to monthly mortgage payments would not add a significant burden to their financial situation. Not only are mortgage rates at historic lows, but rent prices continue to rise as well—something that has pushed many, particularly millennials, to become first-time home buyers.
A 2014 report from Trulia found that individuals who wish to buy in certain major metropolitan areas (including cities such as Atlanta, Chicago or Miami) stand to save significant amounts of money by choosing to buy a home rather than rent for several years. In these areas, the monthly payments to mortgage companies are actually less expensive than monthly rent payments. And with housing prices expected to rise in the near future, it becomes clear that buying a home can be a solid investment choice for the years to come.