My wife and I are currently on the verge of coming to an agreement on a house purchase and we’re excited and terrified at the same time. In just a few short months, we’ll be running an online store, maintaining a small business blog, and taking care of a second child as well. Besides the need for an extra bedroom for our new little one and a nice backyard to play in, our business has required the use of more and more room as we continue to expand. In a nutshell, we are in desperate need of some extra space and this house fits the bill.

Photo by Rev Dan Catt

The problem for me when it comes to home buying though is that I hate carrying a large mortgage. I was always brought up to pay my debts in their entirety and to not have any …

I received a surprisingly large number of emails after writing my last article entitled Housing Has Dropped And Rates Are Low – Should I Buy A House? so I thought I’d devote a blog post to addressing some of these mails.

I was kind of shocked because the majority of emails that I received were in favor of purchasing a house right now despite the mathematical analysis that I performed in my last article.

So I went ahead and picked some of the strongest arguments from these emails to address below. Most of these points may be valid for some people but I don’t feel that they apply to me directly. In any case, here are some of the arguments in favor of purchasing a house right now and why I personally disagree.
Argument 1:Interests Rates Are Low And They’ll Never Be This Low Again
One of my readers strongly urged me …

Home prices have dropped 10-20%. Interest rates are at historic lows. So does it make financial sense to buy a house right now? I’ve been asking myself this question for the past few months but can’t seem to find a compelling reason to do so. The numbers just don’t quite stack up.

Since I have a child and a business, my parents are also pushing me to buy a house. Even my accountant is advising me to purchase a home in order to provide a tax shelter. Do I listen to my parents and my accountant? Is it worth sitting down and running the numbers? In general, I don’t take anyone’s advice blindly unless I have a chance to do my own math. Here’s why I’m holding off on buying a house and a breakdown of my analysis.

Calculating The Monthly Mortgage Payment

Photo By Fotographix

The …