15 July 2015

Tooele Real Estate and Building Wealth

There are a lot of different ways to measure wealth, and even more ideas about how to get it. I have heard them all at one time or other. But...... I have never found anything that fits the bill for the average Joe, (or Jollene) that can do the job as well as real estate.

Specifically owning your own home.

Home ownership combines the advantage of leverage with the necessity of providing shelter for you and your family.

The following article from KCM that I re posted on FaceBook offers some super graphics explaining the results of the benefits, and how you may benefit from homeownership.

I would like to just mention why and how it is so powerful. Simply put it has to do with appreciation, but doesn't everything in the investment world?

Let me give you a very BASIC example:

Buy $3,000 worth of silver, and after a year it appreciates 6% you will have earned $180.00. Better than your return on that same $3,000 being placed in a savings account in your bank.

Take that same $3,000 and buy a house for $100,000 w/ no money down ($3,000 is closing costs) and given the same 6% appreciation you will have increased your wealth by $6,000.

I know this is a simplification, but the concept should be enough to creat an interest. Want to know more, call Chris or Berna @ 435-840-5029.

 

Homeownership: A Key to Well-Being in Retirement

 

Homeownership: A Key to Well-Being in Retirement

Posted: 15 Jul 2015 04:00 AM PDT

Homeownership:¬ A Key to Well-Being in Retirement | Keeping Current MattersThere has been much talk about homeownership and whether it is a true vehicle for building wealth. A new report looks at the impact owning a home has on the financial wellbeing of people closing in on their retirement years (ages 55-64). In recently released study by the Hamilton ProjectTen Economic Facts about Financial Well-Being in Retirement, it was revealed that: 1. Middle-class households near retirement age have about as much wealth in their homes as they do in their retirement accounts.

“Over the past quarter century the largest single source of wealth for all but the richest households nearing retirement age has been their homes, which accounted for about two-fifths of net worth in the early 1990s and accounts for about one-third today.”

2. Home equity is a very important source of net worth to all but the wealthiest households near retirement age.

“Home equity is an important source of wealth for middle income households, accounting for more than one-third of total net worth for the second, third, and fourth quintiles of the net worth distribution… The fifth quintile has a much larger share in business equity—almost a quarter—than any other quintile. (The figure leaves out the bottom quintile of households because they have negative net worth. It is likely that these households will rely almost exclusively on Social Security in retirement.)”

Here is an asset breakdown for the middle 20% of Americans determined by median net worth ($165, 720): Components of Net Worth | Keeping Current MattersObviously, the data again proves that homeownership has a big role in building wealth for American families.


 In Tooele, real estate and building wealth can be synonymous. More important you can be taking care of your future while you enjoy the present. Browse thru some great home buys available by clicking on Tooele homes for sale.

I can help with all of these things. Give me a call,  Berna Sloan 435-840-5029. 

Let's talk about Tooele real estate and building wealth.


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