Some people are just lousy
at saving money, and a house is an automatic savings account. You
accumulate savings in two ways. Every month, a portion of your payment
goes toward the principal. Admittedly, in the early years of the mortgage,
this is not much. Over time, however, it accelerates.
Second, your home
appreciates. Average appreciation on a home is approximately five percent,
though it will vary from year to year, and in some years may even
depreciate.. Over time, history has shown that owning a home is one of the
very best financial investments.
