4 Ways Your Home Can Pay You

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If you are still around thirty and a first time buyer consider buying a city based property and working in that city. Research the market and the future plans for that town or city's growth so that you can estimate your home's fututre value on the sales or rental market. Often you'll find mortgages to be comparable to rental fees anyway and you will have satidfaction and security in knowing your home will be an asset in your golden years!
In my case I and my FA projected my apartments value when I retire in 25 years or so, and it will bring in around $1700 pcm when adjusted for inflation and I should have paid it off within 15 years from now anyway. My mortgage is just over $900 pcm so considerably cheaper than rent, and because it's in a condo I don't have to pay costly maintenance fees. I live in Tokyo BTW in an area I researched to be extremely popular with young career couples starting families. Because of its location, many amenities and convenience to the city center it will never lose value on the rental market. Those are some ideas I would consider as a first time buyer.
My main point is...Don't let your job dictate where you buy, you could find a job in a more desireable location and secure a better future. Make the calculations carefully, weigh up the difference....a home is definitely an asset if planned well and location is a main selling point. Another example; My mom lucked out. or rather planned wisely in the UK, purchasing a bungalow in a small town that had future plans for a bypass connecting it to a main freeway to London. 6 years later the bypass was complete and the town officially became part of the London commuter belt, attracting wealthy urbanites to purchase second homes...now her home has tripled in value despite a relatively low purchase price. We expect that it will continue to rise in value as she moves toward retirement in the next decade...then she'll sell up and move to a cheaper location and have enough to survive without working or relying on inadequate pensions.
Good luck expanding your asset columns!

doc 9:56AM March 27, 2011

If you are still around thirty and a first time buyer consider buying a city based property and working in that city. Research the market and the future plans for that town or city's growth so that you can estimate your home's fututre value on the sales or rental market. Often you'll find mortgages to be comparable to rental fees anyway and you will have satidfaction and security in knowing your home will be an asset in your golden years!
In my case I and my FA projected my apartments value when I retire in 25 years or so, and it will bring in around $1700 pcm when adjusted for inflation and I should have paid it off within 15 years from now anyway. My mortgage is just over $900 pcm so considerably cheaper than rent, and because it's in a condo I don't have to pay costly maintenance fees. I live in Tokyo BTW in an area I researched to be extremely popular with young career couples starting families. Because of its location, many amenities and convenience to the city center it will never lose value on the rental market. Those are some ideas I would consider as a first time buyer.
My main point is...Don't let your job dictate where you buy, you could find a job in a more desireable location and secure a better future. Make the calculations carefully, weigh up the difference....a home is definitely an asset if planned well and location is a main selling point. Another example; My mom lucked out. or rather planned wisely in the UK, purchasing a bungalow in a small town that had future plans for a bypass connecting it to a main freeway to London. 6 years later the bypass was complete and the town officially became part of the London commuter belt, attracting wealthy urbanites to purchase second homes...now her home has tripled in value despite a relatively low purchase price. We expect that it will continue to rise in value as she moves toward retirement in the next decade...then she'll sell up and move to a cheaper location and have enough to survive without working or relying on inadequate pensions.
Good luck expanding your asset columns!

doc 9:56AM March 27, 2011

While the expense fees of a reverse mortgage have been high, they are coming down as Boomers retire and need cash for everyday living. It would not be my first choice, but when other income dries up or was never there, you gotta do what you gotta do!
It is a bit scary to continue to read about how many people have so little for their much deserved retirement. Makes me want to scream for the Fair Tax folks to get moving. I believe a flat and Fair Tax makes good sense: http://www.fairtax.org/site/PageServer
John

John of TN 9:40AM March 22, 2011