Thursday, July 14, 2005

Village Voice's View on Young Homeownership

I know, I'm still not showing you any new designs (but I do have them, I'm just looking for a pattern maker at the moment).

Meanwhile, I'm still easily distracted by homeownership, and not paying the landlord. My trusty brother forwarded me this link from the Village Voice, which shows that I'm not alone in wanting to own, and making it happen.

Check out these statistics from the article:
"Between 1995 and 2004, according to the U.S. Census, the percentage of people under age 25 who owned homes leaped 59 percent, while the percentage among those 25 to 29 rose 17 percent. Meanwhile, the overall percentage of home buyers grew just 6 percent. Of course, twentysomethings are still far less likely to own than the general population. In 2004, the national home ownership rate was at an all-time high of 69 percent; for those 25 to 29, it was 40 percent. And New York City is a renter's city: Two-thirds of its residences are rentals."

Two main components are driving me:
1. the mortgage can earn money over time to borrow against, which for me equals a boutique or serious capital for a line of accessories or more collectible clothing.
2. taxes, oh taxes! you could see a big relief in taxes.

In the vein of my trusty cousin's advice from the article:
"Toribio says that while buying early can be a great way for young people to build wealth and put down roots, it's important to keep a reserve on hand for maintenance and emergencies and to estimate future income realistically. In other words, owning is as safe a move as you play it. "

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