6 Advantages of Buying vs. Renting a Home
There are many advantages to buying your own home instead of renting. Other than it being the biggest and best investment you will ever make, below are six more reasons to buy your own home.
From the moment you sign the papers on your home, you have gained equity in it. With just a five percent down payment, you have complete ownership of the property. As you continue making payments and the mortgage decreases, your property is appreciating and the equity is growing. Even if your home didn’t appreciate, which is unlikely, you are still paying down the balance of your mortgage. When you rent, you’re paying another person’s mortgage, paying down their balance and building their equity.
Buying a manufactured home offers the benefit of being easy to relocate when necessary. Being inexpensive, the retired and elderly truly benefit from buying manufactured homes. Another benefit of a manufactured home is that if you plan to move to another location, you have nothing to worry about. You can move the mobile home, or you can sell it and make money. The market is lucrative for selling and purchasing manufactured homes.
Sense of Ownership
It’s a good feeling to buy and own your own home, and it gives a person a great sense of accomplishment and ownership. It’s nice to know you can paint the walls however you want without consequence. You can hang pictures and decorate the way you want. If you choose to remodel, knock down walls, add a bathroom or just renovate, you can do whatever you want while improving your property value.
Owning a home gives you stability. It’s a nice feeling to know you locked your mortgage rate for 30 years, and your payments will never change. With renting, the landlord could increase your rent when they feel like it and could charge you whatever they wanted.
Owning a home gives you a sense of adventure for what the future holds. Other than building equity, you’re paying down the mortgage. With a mortgage, you can eventually pay off your home. When renting, you can never pay it off. Once the mortgage is paid off, think about all the disposable income you will have.
Did you realize that your mortgage loan interest is deductible on your annual income tax return? Additionally, your real estate expenses are deductible. This can be a huge tax savings for you.
Renting does serve a good purpose for those who need it or for those just starting out. However, these are some great reasons for buying a home instead of renting.