You are moving to Laguna Beach Real Estate for good and you are now contemplating whether to rent or buy a home. It could be truly a hard decision since investing in a new house involves risk. With the high cost of maintenance and growing property tax rates, buying a house requires an in-depth analysis before you go and make the purchase.
Yes, it could be overwhelming especially if you are a first time home buyer, this could make you prioritize renting more. However, the rewards of owning a house make the drawbacks look small inconveniences as living in your own property offers major benefits— both financially and psychologically.
In the statistics recorded by the US Census Bureau, there are 80% of Americans who purchased their homes. Long term home ownership is very important for many reasons. From forced savings to tax advantages, not to mention having a place you can proudly call your own, home ownership is one vehicle in living a good life.
We listed 7 topmost advantages to buy a home right now.
- 1. Savings
Buying a home means spending, then how can you save? Many people find it hard to manage their finances and make a saving in a monthly basis, but you can when you own your home. The equity you gain for your home is already a saving plan. If you will be planning to sell your home in the future, you can gain thousands of dollars without owing any federal income tax.
2. Tax Deductions
For federal and state income taxes as mandated by the US Tax code, the payments you make for your mortgage interest and property taxes are fully deductible. It is also worth noting that in the first few years after you made the purchase, the money you paid for the mortgage is mostly interest that you can benefit from. Furthermore, when you are to sell your home, the closing costs such as the fees for loan application, appraisal, and other points you paid may be deductible so you still have nothing to lose, but much to gain.
Properties are considered safe and steady investment. Over the next decade, the demand for housing will continue to increase so there is no need for you to worry that you will be buying something that you cannot benefit from. At present, if you are planning to sell your home, all you have to do is call us to assist you, and you can be at peace that you will get the value your property deserves.
The money you spent for rent is money that will not come back to your pocket again. But the money you spend to pay for mortgage lets you build equity that gains value over time.
Payment for mortgage doesn’t go up over the years unlike rent so your home’s cost actually decline over the years. It make sense that if you want to save more money in the future, you have to consider buying your own property as early as now.
Renting may require you to lesser payment in a monthly basis, but as it accumulates, you will find out that you may already have owned a home with all the money you spent for years. Homeowners have a fixed mortgage rates, so you can expect that you are paying the same amount as it is in your 10th year of stay in your property. Also, stability also comes in the sense that you will be anchored with community.
It is your home. You set your rules. You can decorate it all you want without landlords to prevent you.
At Integrated Realty Group, we can assist you in your home buying decisions. We are realtors trusted in our craft and we offer financial assistance to facilitate your buying requirements. Give us a call and we will attend to your immediate home buying needs.