Military/Armed Forces - RENT vs. BUY comparison
If you have or are about to receive orders to Fort Gordon, housing will no doubt be an immediate concern. Although house and apartment rentals are available in the Greater Augusta GA area, you may find it challenging to locate suitable options or acceptable value for the monthly payment.
If you have pets, or a large family, it can become even more difficult to find housing. Often service members tell us they plan to rent, but once on the ground in Augusta GA, they change their mind and jump into a frantic and hurried home buying search. This too can be a big mistake if you're not working with professionals that will actually give you quality answers guidance and advice.
Below you will find information to consider as you make this important housing decision. Chances are, you may qualify for a 100% VA Loan and be able to take advantage of its many valuable features combined with some amazing tax credits that may apply. Just go to www.AugustaLoanStore.com to prequalify and confirm your eligibility.
Currently (09/09) for "first-time home buyers" there is an $8000 IRS Federal TAX credit (for closings before 11/30/2009) PLUS a GA tax credit for up to 1.2% of the sales price (with a $1600 cap). The latter applies to all buyers to qualify, not just first timers. Of course certain restrictions apply to contact us for details. It is uncertain at this time if this closing deadline will be extended by the federal government.
With a VA loan, you can buy with NO money down while rentals typically require a 1 month security deposit and the first months rent up front, plus pet deposit if applicable. This can easily amount to over $2000 cash outlay up front just to move in.
When you buy, the first payment is not due until 1 month later since you pay mortgage interest "in arrears". When you rent, payments are usually due on the 1st of the month and are paid in advance of your occupancy. Also, mortgage interest payments are tax deductible, so you're able to have a deduction on your tax return when you own a home.
If the house you are interested in buying is vacant - you can possibly even move in early, while you are waiting to close...
Consider these payment examples to see if buying a home will be more cost-effective and better meet your needs while working at Fort Gordon, Georgia.
$110,000 loan amount at 5% APR at 30 years fixed is $590/mo P&I - with Taxes and insurance your payment would be about $775/mo total.
$130,000 loan amount at 5% APR at 30 years fixed is $697/mo P&I - with Taxes and insurance your payment would be about $895/mo total.
$160,000 loan amount at 5% APR at 30 years fixed is $858/mo P&I - with Taxes and insurance your payment would be about $1075/mo total.
$175,000 loan amount at 5% APR at 30 years fixed is $939/mo P&I- with Taxes and insurance your payment would be about $1175/mo total.
We can assist you with rental homes posted on our website as well as helping you buy any homes for sale in Georgia or South Carolina. Just click Search the MLS at our site. Don't hesitate to call or e-mail us your questions about renting or buying a home in Augusta, Evans, Martinez, Grovetown, Hephzibah, North Augusta, Harlem, or the surrounding areas of Ft. Gordon. Call Christine & Drew May today at 706-869-9478.
Drew & Christine May
Call us at 706-869-9478