What is the most valuable piece of advice you could give your younger self today regarding building financial wealth?
For me it’s a no brainer “BUY DIRT”! Not only do I love that song by Jordan Davis and Luke Bryant the video just speaks to my heart and soul of what life is all about AND I have seen it repeatedly with many of my clients.
STORY TIME: in June of 2020 I sold the pictured home for $639,950. The buyers have since had a change of life plan and are moving out of state. Thankfully they have been in the home for 2 years as their primary residence so it will save them on the capital gains tax. WHEW! This month, April 2023, the home is now pending under contract and will be closing soon for around $900,000. That is a profit of around $260,000 in 2.5 years!!!! Do the math if you must and see the appreciation they received in this short time. I may be a Realtor and yes, this is my job but it’s a career I love and I believe very strongly the most solid way to build wealth and secure your future is to buy a home. Your own piece of dirt.
Inventory is still low, prices continue to go up, by the time the rate is where you want it, that price home won’t be what you want anymore, so you will have to spend more to get the same house. I always tell my buyers that it’s important to “marry the house, date the rate” Find the home you want in today’s prices and then when rates go down, refinance to save. If you wait for the rate to go down for 12 months or, more, and prices increase 5-10% during that time, what are you really saving? And, the main reason you are moving cannot be achieved if you stay put (need more space, closer to family, etc. )
You are investing in yourself when you purchase a home. We purchased our first home at 7.5% and that was normal!! Over time home values will always continue to rise, homes are a long term investment and let’s face it it’s better than paying the 100% interest you are currently paying on the rental you have.
Let me know if you want me to help you build your financial wealth!