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Here’s the Best Pharmacy Stock to Buy With a COVID Connection

Walgreens Boots Alliance (NASDAQ: WBA) and CVS Health (NYSE: CVS) are helping vaccinate the residents and staff in long-term care facilities. In this Motley Fool Live video recorded on Dec. 16, 2020, healthcare and cannabis bureau chief Corinne Cardina and Fool.com writer Keith Speights talk about which one of these pharmacy stocks with a COVID-19 connection is the best pick to buy right now. Walgreens and CVS Health have both signed a deal with the US government. Read More...

Benzinga

6 Reasons Why You Should Not Buy A Home

Owning a home might be the epitome of the American dream, but it’s not engraved in stone! So, if you’ve been toying with the idea of giving up homeownership, then, by all means, go for it. However, given that homeownership is perceived as the hallmark of wealth, giving it up is set to bring you a lot of controversies. Individuals in your circle might even criticize. But regardless of what the greater population thinks, here are good reasons never to buy a home.Homeownership Costs Are Lifelong Advocates for homeownership often argue that paying rent is costly, but homeownership is equally as expensive. Homeownership costs do not end with that initial payment. It comes with lifelong costs, which, compared to renting, will create a dent in your finances and take away your peace of mind. For instance, utility bills like electricity and water are unavoidable and must be paid every month. According to Zillow, these bills alone cost homeowners between $2,300 and $4,600 annually. Add in recurring costs like insulation, heating and cooling maintenance costs, homeowners insurance, property taxes, HOA fees, mortgage payments, and yard maintenance, and chances are you end up spending more annually than a renter residing in a house similar to yours. What’s more, there’s no opting out. Once you purchase a home, you commit to these costs unless you decide to sell it. On the other hand, when you lease or rent a home, you can always opt-out. For example, when times become hard, you can always shift to income based apartments until you’re back on your feet again. A Home Is Not A Real Estate Investment Pro-home individuals will try to convince you that your home is an investment. Although there’s some truth in this, buying a house as your primary residence is not the same as buying one to rent out or resale. Why? Well, when you purchase a home for real estate, it brings you a return on investment.For instance, when you purchase a condo and rent or lease it out, it offers you returns on investment at least every month or every six months based on the terms of your agreement with your tenant. But when you purchase a home to live in, you will have invested, but you will not get any returns. If anything, you will be the one putting money into it through maintenance, mortgage payments, and all other costs mentioned earlier. Plus, a house can never be an investment if you don’t plan on selling it at any point. What makes an investment an investment is your control over its ownership. In other words, a real estate investment is referred to as such because you can buy it when its value is low and sell it when the value is high, making profits.But your primary residence is different because you cannot just wake up one morning and decide to sell it unless you are hard-pressed for cash, which in most cases means you will take any offer leading to losses.Also, when you sign that home-buying agreement, your money is automatically locked down, and the only way you can get it back is by selling it or taking a home equity loan. When you rent or lease, you free up your cash, and you can use it to invest in opportunities that grow your wealth.Sure, you could argue that rent is expensive, but this is not a good enough reason to buy a home since there are plenty of modern, well-equipped, low-income apartments that’ll help you keep costs low. Housing Values Aren’t Always High It’s true that a house increases in value as time goes by. Due to inflation, a house bought for $100,000 is by now worth over $600,000. That means selling it will bring you good profits. However, keep in mind that the real estate market is incredibly volatile.The value of your home might be high now, then it may drop steeply due to a real estate market crash and/or other external factors. For instance, during the great financial recession of 2007-2009, real estate market values experienced a sharp decline, which saw sellers incur massive losses. Existing listing values plunged from $7.1 million to $4.1 million, marking a 25% decline in the value of homes sold during this period. What does this have to do with buying a home? Well, you may buy a home expecting it to increase in value, but instead, find that its value is incredibly low when you badly need to sell it off. The result? You end up selling it at a loss. Keep in mind that some factors are out of your control. For example, the real estate market may not crash, but due to other components such as increased crime, the value of homes in the neighborhood you bought your home in goes down. Such an occurrence will make it almost, if not, impossible to find a buyer who’s willing to get it off your hands, even at a buying price.In other words, unless you have a magical crystal ball, there’s no telling what will happen next with the general, or your local, real estate market.So if you are buying a home now with hopes that its value will increase in the future, then you are better off not buying one because you potentially could be massively disappointed.Owning A Home Ties You Down Unless you are wealthy and can afford to buy a home in different parts of the country, homeownership tethers you to one location. If you get a fantastic job or entrepreneurship opportunity, you cannot just pack up and go. First, you have to put your home on the market and find a realtor to help you sell it.You also have to worry about market values, and since you are in a hurry to move on to your next location, chances are you will sell it to the first buyer because you have no time to wait for better offers. But when you are renting, all you need to do is pack and go. Even if you are not moving, buying a home automatically means you’ll have to deal with the community around you for the rest of your life, especially if you don’t plan to sell it. For instance, even if you do not like your neighbors, you will have no option but to learn to put up with them. When you rent and don’t like your neighbors, the option to walk away is always viable. Homeownership Isn’t For EveryoneNot everyone is cut out for homeownership. It comes with responsibilities that some people just don’t have the skin to handle. For instance, when you purchase a home, especially in an HOA community, you need to ensure the yard is well maintained, clean out gutters, repaint your exterior regularly, and other similar tasks. Not everyone is cut out for that level of responsibility, and if this describes you, then never buy a home. Homeownership Doesn’t Define YouOwning that modern condo is great, but you can still enjoy living in it without having to deal with the stress of ownership by simply leasing. Homeownership doesn’t in any way define your success. So, if you’ve never wanted a home, do not buy it because your peers own multiple houses. After all, homeownership leaves little to be desired.See more from Benzinga * Click here for options trades from Benzinga * Amazon Opening Three San Antonio Facilities * The Psychology Behind M1 Finance’s Platform And Its Focus On Financial Well-Being(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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