“A mortgage can be a huge strain on a person’s finances if not done right. That’s why I always try to show my clients the smart way to become a homeowner.”
Financial freedom has become a buzzword in personal finance circles. Like with many buzzwords, the meaning of financial freedom has gotten “lost in translation,” partially due to the fact that everyone has a slightly different definition of financial freedom. “Everyone has different dreams, goals, and aspirations,” shares real estate expert Brian McCauley.
As McCauley explains, the reason why everyone’s perception of financial freedom and independence vastly differs is that they are directly tied to one’s life goals.
Buy a House and Achieve Financial Freedom?
According to McCauley, a successful North Texas Loan Officer, homeownership can be a great way to financial freedom. However, many people are afraid of buying a house, especially in this state of the market as low inventory, inflation, and high competition have pushed costs up.
Real estate and mortgage company Rocket Homes shed some light on the problem with their homebuyer survey. In January of 2022, they released a study in which they surveyed nearly 1,300 prospective or recent homebuyers, and the results were defeating — 69% of prospective homebuyers were millennials and the main reason for delaying their decision to buy a home is a fear of falling into debt.
McCauley agrees that buying a house is the biggest purchase and the biggest financial investment that most people will ever make, and if the process is not done correctly, those people will lose their financial leverage. However, he points out that there is a way to become a homeowner without ruining your finances.
“You don’t need to have billions to be financially free. You just need your income to be higher than your expenses,” says McCauley.
“My thirteen years of experience in the mortgage and real estate industry have taught me that a mortgage can be a huge strain on a person’s finances if not done right. That’s why I always try to show my clients the smart way to become a homeowner. I want to make sure it’s done properly, with the right expertise and the right understanding of how to do it to help people make the right decision.”
To Buy or Not to Buy?
Interest rates reached historic lows in 2021, which made home-buying an attractive option. Now, the current mortgage rates are going up due to the Federal Reserve raising interest rates to help combat inflation. Still, McCauley points out that even though interest rates are rising, they are still much lower than what many borrowers have historically locked in.
Another thing that potential home buyers should consider is the fact that home prices will likely continue to increase throughout the year and that there are still fewer homes on the market than buyers, making it a seller’s market.
But how about the answer to the question — to buy or not to buy?
As a certified mortgage advisor and one of the top producing mortgage originators, McCauley knows the do’s and don’t when it comes to buying houses. He has a deep understanding of creating wealth through homeownership, and he gladly shares that with his clients. As for the answer to the question, McCauley said that the only right time for buying a house is when a client considers all the options.
“People that work with me understand from the start that I’m not here just to get them a pre-approval and get the keys to a house. I’m here to structure this and educate them as a client to make sure they fully understand how to create wealth through homeownership and become a smart homeowner,” McCauley says.
“Most people think, ‘Oh, I’m gonna get a house. I want to get pre-approved.’ I say, ‘Great, I want to make you a homeowner, but I want to make you a smart homeowner, and you should buy only when you considered all factors and made a smart decision.’”