January is a time for assessing our personal goals. Some of you are well into your training runs, getting ready for the amazing Asheville Marathon. Maybe some of you are looking for some inner peace at Asheville Community Yoga or taking in more live music at The Orange Peel.
But the New Year is a great time for assessing your financial wellbeing too, and real estate offers some incredible possibilities. But to maximize the economic potential of real estate, it’s important to think about the range of options that real estate offers.
Here are 4 routes to improving your financial wellbeing this year with real estate.
- Transition from Renting to Owning
Homeownership has long been considered a cornerstone of the American Dream for good reasons. Home ownership is a critical financial investment that allows for far greater financial security than renting. Monthly mortgage payments amount to a kind of forced savings. Renters are also susceptible to fluctuations in the economy, while mortgage payments remain steady.
- Purchase Rental Property
Asheville remains one of the country’s best markets to buy a home, according to CNNMoney. You may have also heard that the vacancy rate in Asheville is among the lowest in the country. This is great news for those who seek to generate income through a rental property. Asheville is sought after by transplants, who are not quite ready to buy but who are looking for a place to settle down for a year or so. Rental properties generate income, and your dollars are going to work for you as the value of your property increases. Win. Win.
Upgrading or downsizing can be great financial moves, too. According the esteemed Wall Street Journal, the housing market in Asheville is incredibly robust, out performing the markets of almost every other area in the country. In fact, 2015 was a record-breaking year in Buncombe County. Upgrading to a home with fantastic amenities is a great investment, and in the meantime, you can be savoring gorgeous views, an outdoor fireplace, or a prime location. Alternately, downsizing can generate cash for other financial ventures or life changing adventures.
- Use Property Smartly
Asheville has some quirky houses. This is certainly one of the city’s charms, but it also means that homeowners have spaces that go unused. Rethinking how you use your existing space can add up to dollars in your pocket. The booming tourist economy means that extra bedrooms and garage apartments can be packaged as lodging for travelers. Throughout Western North Carolina, homestays are legal and profitable. Basement bonus rooms and sunrooms can be used as home offices, which offer savings on office rental costs and provide a tax write off, too.
We are wishing you a year of meeting all of your financial goals. Get in touch with The Broker Asheville Team to talk more about how we can help!