Should an owner pay cash for improvements to a property or finance them?
Ahmad Turki, ARM?, ACoM?, PCM?
Accredited Residential Manager? | Accredited Commercial Manager? | M100 Certified | Professional Certified Marketer? | ADVETI Certified Real Estate Broker | Co-Founder Housez.ae
It depends on the owner's situation. If the owner has enough cash saved up, paying cash for improvements can be a good idea because it avoids taking on debt and paying interest. However, if the owner doesn’t have enough cash or wants to keep some savings for emergencies, financing might be better. This way, they can spread out the cost over time. So, it’s about choosing what’s more comfortable for the owner’s budget and needs.
Paying Cash
Pros:
Cons:
Financing (Getting a Loan)
Pros:
Cons:
So, paying cash is good if you want to avoid debt, but financing can be better if you want to keep your savings intact.
Founder @ Housez.ae | Real Estate
1 个月Very informative