Many people are confused by the recent tax reform. Should they buy now, wait to buy their first home or maybe even just settle for being renters. Talk to your tax adviser/preparer/accountant. Most people in San Diego County find that not only does it still make better sense to buy a home now, it is slightly more to your advantage to do so with the recent tax changes.
Renters in San Diego county have seen rents rises for many years now. And there is no end in sight. In fact, the rental housing shortage is growing. Estimates of population growth for the area showed a need for about 15,000 new housing units in each of the last three years. Actual new housing construction has numbered in the few hundreds for each year. Population growth outstripping new construction is nothing new for California. Lately this imbalance has grown worse and is projected to deteriorate dramatically in 2020. This is less than 20 months away!
Instead of holding out for the perfect home, get out there and look at what’s available. Keep an open mind and be flexible. You will find some pleasant surprises when you open yourself up to possibilities.
With home prices rising faster (10.1% area average for 2017) than wages (2.6% area average in 2017), owning a home is clearly a way to keep your head above the rising tide. Proper planning and execution means fixed monthly payments for the next 30 years, instead of being at the mercy of your landlord!
It may seem like home ownership is easier said than done. In fact, recent changes to address the housing crisis make home ownership far easier for most would-be buyers. The focus is now on helping people who are gainfully employed but struggling to save money for a down-payment.