Women home buyers

Which is better- Putting Down 20% on a Home or Investing in a Business 

Some potential women home buyers are wondering, if they should put 20% down on a home or invest it? Today, as women, we live in a world of various financial opportunities. For instance you might consider buying a home or starting a business. So, where to place your hard earned money can be very challenging.

However, as a woman, the choice is solely dependent on your goals. What you think is best for you at the time also matters.

Since more women are becoming home buyers, it’s worth consideration.

Should I put 20% Down?

While it is possible to purchase homes with down payments less than 20% of the home’s value, it is usually more favorable if you have the ability to do so. This can open up  financial benefits that will help your purchase and keep your payment to a minimum.

Some benefits include:

  1. A Shield to Help Offset Price Declines: Considering the competitive nature of the real estate  today, the price of the homes can fluctuate at any time. However, if you are in a position to make a 20% down payment, it could minimize the likelihood and severity of a price decline that could put you into a negative equity situation.
  2. Low Mortgage Payment is Key: Always remember to be rational in your thinking when it comes to buying a home. Your ability to make a 20% down payment for a home paves the way for you to more easily pay the balance of the mortgage loan.
  3. Increased probability of Mortgage Approval: It should also be noted that making a 20% down payment on a home signifies strength and stability. This gesture alone justifies your ability to save money and serves as an indicator of your creditworthiness.
  4. Faster and Easier Mortgage Payments: Paying off the mortgage on time is extremely important and makes good financial sense. It gives you one less thing to worry about.

    Is Investing in a Business a good idea?

Now let’s briefly talk about investing in a business venture. Women are becoming creative and looking for avenues that will transform their lives forever. Most often, engaging in profit generating   investments is an option. However, before jumping into investment ventures of any kind, some points must be noted when profitability and growth are its foundation .

  1. Capital: No business startup can be possible without startup capital.  Capital is the key before certain investments initiatives can become a reality.
  2. Market Share: Every business or investment decision made must have a targeted audience or a ready market for which the entrepreneur is willing and able to serve. Therefore, for women seeking to invest, it is necessary to do research on the needs and wants of the actual and potential customers before venturing into any investment platform.
  3. Profitability: Like most entrepreneurs including women in the market place, profitability is the primary objective. It’s a necessity for business survival and growth.

Conclusively, when it comes to choosing between a 20% down payment or investing in a profitable business venture, the choice is yours and you are fortunate to be in a position to even make the choice!

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(all data current as of 6/6/2020)

Listing information deemed reliable but not guaranteed. Read full disclaimer.

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