A lot of people will perhaps suggest to buy a house prior to purchasing a car. In the end, a home is a valuable asset and auto is a downgrading liability. That statement may be true, particularly in the long term scenario. However, in reality, a lot of working individuals will buy both car and a house sooner or later. At the end of the day, you will have enough funds to purchase both. Therefore, it is not really a problem of which is the best investment, the only question is that why you should spend money on a house before your car?
There are lots of economic professionals which have said some negative things regarding the current condition of the economy. While the financial condition has taken a huge hit, there are advantages to what has taken place. One of those benefits is how immense of a real market it is for people which are searching to purchase a home. Below are just some of the reasons why you should spend money on a house before your car.
One important reason is that homes have fallen in value over the past few years. Areas like Las Vegas, California and other big cities have seen significant drops in prices of homes and condos and even apartments. While this is awful and terrible for those who own these properties, it’s absolutely remarkable for people which are searching to purchase a home. Meaning, a home which has a value of 400,000 dollars in California is perhaps worth approximately 200,000 dollars. This massive value swing is assisting people which are in a position to purchase to get way more property than the cash then even before. This also shows that you can get a bigger property, with many bedrooms and wide yard space than you will have been capable to get for similar price three to four years ago.
Another reason why you should spend money on a house before your car is because in today’s real estate market, there is a foreclosure that continuously taking place. A foreclosure takes place if homeowners can’t make their loan payments. Once this takes place, the bank organization evicts tenants and the property becomes the sole possessions of the bank. Then the bank will sell the property on auction for the cost suitable to unload them from financial books. Meaning, homes which are big and nice looking, will just offer for a fraction of the cost to the highest bidder. Auctions which sell foreclosure are the best sources to buy beautiful and big homes for a very low price.
Why you should spend money on a house before your car? In today’s society carjacking is very common, so the best thing you can do if you have a car is to purchase anti theft accessories which is very expensive. Unlike buying a home, some developers offers home that comes with anti theft accessories. Which you should buy first car or home? It all depends on your needs.