Home owners who currently own smaller homes and have outgrown them or simply want to, are taking great advantage of the opportunity to upsize in this market. The amount of fantastic inventory and the lowest mortgage rates explain why that is. So why not address home ownership in general? Renting is still a great option today with everything from traditional apartments to full size single homes available for rent but if home ownership is a desire now is the time to make the move. Again, the amount of gorgeous local inventory on the market and the low interest rates should most definitely give pause to consider owning a home.
Buying a home today is not as daunting as you may think. Today’s low interest rates and numerous affordable home options make buying an enticing option over renting.
Renting brings you no equity, no tax benefits, no control over rent increases and no pride of ownership.
BUYING a home does! Here are 7 reasons to own your own home...
1. Tax breaks. The U.S. Tax Code lets you deduct the interest you pay on your mortgage, your property taxes, as well as some of the costs involved in buying your home.
2. Appreciation. Real estate has long-term, stable growth in value. While year-to-year fluctuations are normal, median existing-home sale prices have increased on average 5 percent each year from 1972 through 2011.
3. Equity. Money paid for rent is money that you’ll never see again, however mortgage payments let you build equity ownership interest in your home.
4. Savings. Building equity in your home is a ready-made savings plan. And when you sell, you can generally take up to $250,000 ($500,000 for a married couple) as a gain without owing any federal income tax.
5. Predictability. Unlike rent, your fixed-mortgage payments don’t rise over the years so your housing costs may actually decline as you own the home longer. However, keep in mind that property taxes and insurance costs will increase.
6. Freedom. The home is yours. Regardless of condition, you can have fun updating and decorating how you want and benefit from the investment for as long as you own the home.
7. Stability. Remaining in one neighborhood for several years gives you a chance to participate in community activities, lets you and your family establish lasting friendships, and offers your children the benefit of educational continuity
information courtesy of Suburban West Realtors Association and the National Association of Realtors.