No rent. Financial Gain. As a renter, you never see your money again. Paying on your mortgage is different. Part of the money you pay each month goes toward the principal and interest on the loan, while the rest is allocated toward your ownership of the house. You are building equity. At the end of your loan term, you’ll have money invested in the home that someone would pay directly to you should you elect to sell your home.
Tax deductions. From a dollars and cents viewpoint, owning your own home makes good sense. When tax time rolls around, you have the benefit of deducting the interest paid on the mortgage throughout the year. If you have paid points, either for a discount or origination, you can also deduct these. Probably the most significant advantage, though, is the fact that the principal you pay on the mortgage is like putting money in the bank, in the form of equity.
Peace and quiet. In many cases, your own home provides you with more privacy than rental living. Many individuals prefer a quieter, peaceful living environment free from noisy neighbors. Others enjoy having the ability to garden and having a garage for their car. If you love growing your own tomatoes and having a clean car, then you should consider home ownership.
Freedom of choice. As a homeowner, you can modify any aspect of your home to make it exactly the way you want it. Tired of carpet? You may install hardwoods in your favorite finish. Owning your own home means you can do whatever you please to make your environment both personalized and, in the process, add value to the house. When you own a home, your options are endless. This benefit gives you more control over your living environment, allowing you to make adjustments as your family changes or just as your personal taste dictates.
Social benefits. Many homeowners seek communities that offer amenities such as swimming, tennis, a fitness center, and golf. Often, the community will require an annual homeowner’s association fee. There are many social benefits associated with it — affordable activities for individuals and their families, friendships within the community, and networking opportunities for all. Both condominiums and single-family homes offer numerous social benefits for homeowners.
