Article | Home Buying
6 Reasons to Buy a Home Instead of Renting
If you’re looking at what your housing options are, find out how homeownership may be the right choice for you.
For many, owning a home is an essential part of living the American Dream, and most of us have heard that old saying: There’s no place like home. You may wonder, why should I keep renting when I can own? How can homeownership improve my life? Having a home means you can have a place that truly reflects you, your family and what’s important to you.
6 Reasons Homeownership Can Benefit You
If you’re a first-time home buyer, you may want to know if owning a home is the right choice for you. Before you pack up, here are some of benefits to consider when having your own home.
1. Gain a Sense of Stability in Owning a Home
With renting, consider changes in management, raises in rent price or lease renewals. With a home, the future is less uncertain; your house payment will be an expected and regular amount month to month, making it easier to budget and plan. If your rent costs go up, you may struggle to account for the extra spending. Homeownership can give you a sense of permanence, where you don’t have to stress about what to do when the year ends.
2. Maximize the Return on Investment with Your Monthly Payment
When paying a mortgage, you’re also paying toward a long-term investment financially. As you get toward the end of your mortgage term, the majority of your mortgage payment is applied toward your principal amount and less toward the interest, resulting in equity in your home. If you’re going to make payments to either rent or a mortgage, it would be nice to have the satisfaction that your monthly payment is an investment for your future, and that’s exactly what a home purchase can give you.
3. Find More Privacy Buying a Home
With a home, you can have freedom and privacy. There are no walls to share with other tenants, who may decide to vacuum just as your baby falls asleep or listen to the TV at full volume. Some apartment complexes may have rules to reduce noise, but if you work unique hours like second or third shift and have to be cautious not to disturb your neighbors during your waking hours, that could limit your enjoyment of down time. A home is your space to fit your schedule and give you a retreat from the busy world.
4. Enjoy the Social Benefits of Owning a Home
Whether you want a home in a neighborhood or on a piece of property with plenty of room, homeownership has a sense of community! In a neighborhood, you can see familiar faces and build relationships with fellow homeowners. However, if you like a more secluded homeownership, you still have that community appeal by having the freedom to throw gatherings of friends and family without the limitations that renters often have. It’s your space to enjoy some “you time” or to entertain.
5. Feel the Pride of Homeownership
There’s a special sort of pride that comes with knowing something is yours and the freedom to put your own touches on it. You can paint the walls, plant a garden and make changes or upgrades. You can entertain guests or make a pet part of your family. Ultimately, you can turn a house into your home. Regardless of your personal preferences and taste, you make the calls. Owning a home is a commitment that is sure to bring you and your family pride.
6. Take Advantage of Potential Tax Deductions
Who doesn’t like a good tax deduction? Mortgage interest paid can be a deductible on a homeowner’s personal tax return. If you own the property you home is on, you may also be able to claim deduction for property taxes. Speak with a tax advisor about deductible opportunities to find out what savings you may have access to.
If you’re a first-time homebuyer considering purchasing a new home, read more on the steps of the home loan process. You can decide if it is time to make your move.
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