Later today there will be a PowerBall Lottery drawing worth almost $1 Billion. Of course, Hawaii is one of six States that doesn’t participate in that National Lottery, so it is a bit of a moot point. However, there is a completely legal way you can hit the jackpot and cash in big right here in the islands: buy a house!
Most people stay in a house 5 – 7 years before they sell and move on. So let’s take a look at where you’d be today if you had bought the Median Priced single family home on Oahu 6 years ago.
The price would have been about $740,000.
Today, the median priced home is worth about $950,000
That’s an increase of $210,000!
Your home would have grown in value 28%! An average of 4.67% a year!
In addition, you’d have paid about $190,400 in tax deductible interest on the mortgage over that period of time (that’s after a normal down payment). Assuming you are in a 25% tax bracket, that means you’d have possibly paid about $47,600 LESS in Federal taxes!
Not even considering State tax savings and other benefits, you can see that between Federal tax savings and appreciation, you’d probably be ahead by more than a quarter of a million dollars if you’d bought that home six years ago!
The people on the mainland buying PowerBall numbers this week have a better chance of being struck by lightning while being attacked by a great white shark than they do of winning the Lottery. If you buy Hawaii real estate, your big payoff is almost assured. So stop procrastinating! Prices continue to rise and soon, your dream home may be out of reach.
Help-U-Sell Honolulu Properties is a full service real estate company that provides exceptional service while charging less than ordinary Realtors. We’ve been successfully helping buyers and sellers all over Oahu for more than 12 years and we’d be delighted to help you achieve your housing dreams. Contact us at (808) 593-8811, or visit our website.