Housing choice is a matter of style and quality of life. Nevertheless, the house also is an investment, which for most people is the most expensive asset. As for any other commercial transaction, the question of buying a home is also a matter of value, liquidity and circumstances. Do I need to purchase their own home or apartment or rent a better option?
Related article: How to avoid paying tax on the property?More recently, it was possible to quite clearly say - of course, yes. How else to live, because owning a house or apartment provides a great advantage. In the first place - it is real estate, which indicates the solidity and supplies to the middle class permanently. Secondly, the acquisition of real estate is a profitable investment - of their money invested only 20-30%, whereas the remaining amount shall be issued by the bank as a loan. Have to pay a little more than the price of the apartment, but with every month the debt is reduced, and home ownership is increasing.
In addition, a few years show an increase in property values, so you could buy a house or apartment, after which, having lived, has been selling its real estate and moving to areas much larger area. Over 10 years in America rise in prices amounted to 80%, whereas in Britain the cost of housing in general has grown in 2,5 times. A real estate in Moscow and at all showed a record for the period growth rates.
And all this idyll seemed remarkable, until people feel the effects of financial crisis, so that now familiar with the rubric rental ads can be helpful. Real estate values fell in some cities and regions falling to nearly half the cost. Very strong impact experienced London and Moscow and New York, although slightly weaker. In New York the situation is exacerbated by the fact that many people bought overpriced homes and apartments, and in such cases are loans on mortgages reached even 90% of the total price of the house.
In Britain, where their homes have 70% of families, which greatly exceeds that observed in other European countries, we can now observe a new trend. Londoners are increasingly rent apartments or houses instead of buying. The same situation exists in New York, for the reason that many wealthy people afraid of losing their job. In Moscow, this trend is perhaps not, but for the reason that the price of oil fell, while the construction of housing is not keeping up with demand.