| If you are renting an apartment or home right now, you | | | | want to have in equities, in assets, and in investments? |
| may be wondering whether you should buy or | | | | How much money do you wish to make per year? |
| continue renting. Most renters eventually consider | | | | Keep in mind that foreclosure properties can be an |
| buying a property, especially when rents increase. | | | | important building block for your financial future. Real |
| Buying a foreclosure is especially attractive for renters, | | | | estate is an asset that builds your net worth and your |
| as many foreclosure properties are priced below | | | | equity. Since foreclosures are priced below market |
| market value and therefore are generally quite | | | | value, they help you enjoy instant equity. This, in turn, |
| affordable. | | | | can help you strengthen your credit rating and |
| If you are considering buying a foreclosure property, | | | | therefore help you build a brighter financial future. If you |
| one thing you will want to consider is the total monthly | | | | want to continue to rent, you will need to put aside a |
| cost of your housing. If you are renting, you are paying | | | | great deal of money each month in order to enjoy the |
| rent, utilities, parking, and possibly tenant's insurance. If | | | | same equity and net worth that a foreclosure would |
| you decide to buy a foreclosure property, you will likely | | | | offer you. |
| pay a mortgage, taxes, insurance, and maintenance | | | | If you are considering buying a foreclosure, you may |
| costs. Do the math on paper. You may find that many | | | | also want to consider how long you plan to remain in |
| foreclosure homes on the market cost the same or | | | | your current location. If you plan on staying for at least |
| less than your current apartment. Compare several | | | | two or more years, do the math and determine how |
| properties on foreclosure listings and consider how | | | | much money you would spend on an apartment and |
| much such properties will cost per month to own. Use | | | | how much you would spend on a foreclosure. You |
| online calculators to evaluate total costs of mortgages | | | | might find that a foreclosure home makes more |
| and other costs. You will soon find that it is possible to | | | | financial sense if you plan on remaining in your current |
| find a foreclosure home that may cost less in total | | | | location for two years or more. Keep in mind, too, that |
| than your current apartment. | | | | when you do move, you can resell your foreclosure |
| The next thing you will want to consider when you are | | | | property and even make a profit. If you rent, your rent |
| thinking about buying a foreclosure is your long-term | | | | money goes to enrich your landlord, not you. You will |
| financial goals. If you are renting now, you might want | | | | not recoup that money when you move. This is |
| to consider where you want to be financially in five, | | | | another excellent reason to consider foreclosures. |
| ten, and twenty years. How much money do you | | | | |