Buying a home has always been the American dream. However, the process of getting your own home is not always that easy. It involves cleaning up your credit as well as applying for a mortgage. Besides, it also entails paying a down payment, not to mention the tedious process of transferring your entire luggage once you acquire the house. Considering all these, you will require to get a trustworthy real estate company such as www.movoto.com to help you get the best.
In light of all the hassles one has to go through, many Americans still question whether buying a home is the right move. However, the benefits of purchasing a home of your own far outweigh any challenges involved in the buying. To help you make your mind, here are some benefits why buying your own home is worth the hassle.
A Home Appreciates With Time
Buying a home is one of the best investments you can ever make. A home will always appreciate over time. The appreciation is determined by a number of factors. One of the factors is the number of years you plan to live in the house. The other one is the prevailing market conditions. However, the bottom line is that you can hardly go wrong with buying your own home.
According to real estate professionals, a home that costs $200,000 today has the potential of appreciating to $250,000, $300,000, or even more. Appreciation makes buying a home among the best investments you can think of. It is one of the best ways to establish a financial foundation for your children.
You Can Predict Your Monthly Payments Over a Long Period
Unlike rented or leased property, you can easily predict your monthly expenses with your own home. Property owners have the freedom to raise your monthly rent anytime they wish or after your current lease agreement expires. As a result, you can hardly predict what your monthly costs would be two or more years to come. However, with your house, the monthly mortgage repayment remains constant until the end after which you become a legal homeowner.
Homeowners do not need to worry about fluctuating rent rates, and they can comfortably make a budget, knowing that their interest payments will not rise.
You Enjoy Tax Reduction
The significant tax reduction for homeowners in many states is on the mortgage interest they pay. Also, other expenses of owning a home, such as accounting costs and property taxes, have deductions on taxes. As a result, you end up paying fewer taxes as a homeowner, unlike other people.
It is Cheaper than Renting or Leasing in the Long-run
Buying a home appears complicated and very expensive to most people. To some extent, it is true because you have to pay a substantial down payment and closing costs for a mortgage. However, the outcome at the end is very attractive. You cease to be a renter, and you automatically become a full homeowner.
Also, your monthly expenses reduce significantly after you are done with the mortgage repayment. In fact, your monthly expenses become far much less than paying monthly rent. Besides, mortgage rates are relatively low in the present, and therefore, you can now purchase a home with more ease.
You Get a Chance to Engage with the Community Around
Owning a house means that you shall stay in that particular place for a more extended period. As such, you are obligated to pay taxes to the relevant local authorities in your new neighbourhood.
Doing so allows you to participate in the development of local amenities such as improvement of infrastructure, the building of schools and medical centres, among others. Also, you gain a legal right to air your views on how things should be run in the area since you are a rightful resident.
Freedom to Customize it as You Like
Living in a rented home denies you the opportunity to customize your home the way you desire it to be. Because it is your house, the proprietor may not allow you to do any renovations or paintings. In case they allowed you to do it, the proprietor will finally benefit from it since you may never stay forever.
On the contrary, owning your own home accords you all the freedom to customize your house as much as you want. As a homeowner, you will not require the permission of anyone. You are at liberty to paint it using a colour theme of your choice. You can replace the cabinets and do any other modifications that you deem necessary.
Freedom to Increase Privacy
One of the things that many rented houses deny a person is privacy. Some materials, such as plywood, used to construct some of these rentals are inferior. These materials may not offer you the privacy that you require.
However, a concrete or stucco built house may offer you a bit of privacy. If you own your home, you can further enhance this by putting up a fence.
You can Get a Loan From Building an Equity
Owning a home affords you an opportunity to secure a loan for emergencies or any other need that may rise up. As you consistently pay your mortgage, you build equity. The equity you build can help you secure a loan at a relatively low interest. Such a loan can be of great help if you want to start a bigger project.
As a homeowner, you can use your home equity loan to settle interests accrued from credit cards. Also, you can borrow against your home to improve it, or for college or medical fees. Even better, you can get a home equity loan to start a new business.
A Retirement Financial Cushion
Having your home cushions you in your retirement. Depending on how long you have lived in the house, it will have appreciated. You will have several options after your retirement. Firstly, you can decide to sell the house and buy a smaller one at a lower price. Alternatively, you can also rent it out to give you a steady income flow.
In conclusion, securing a home of your own is one of the best investments you can think of.
An excellent article and should be taken into consideration by anyone on the fence about buying a house.