Have you been debating on whether or not to buy a home or continue renting? Buying a home is a huge responsibility, financially and emotionally, but owning a home feels so good! Homeownership is often referred to as “the American dream”.
Real estate is an excellent investment and perhaps the number one source of wealth-building for families. Owning a home has many benefits. While making those monthly mortgage payments you are building equity and that’s a huge investment! Owning a home also qualifies your for tax benefits that may assist you in dealing with your new financial responsibilities. These could be homeowners’ insurance, real estate taxes, and upkeep. Owning a home can also be a great source of pride and stability. Although homeownership has its benefits, it is not for everyone. Owning a home is a huge financial commitment, starting with your down payment! After that owning a home is followed by monthly mortgage payments, real estate taxes, property insurance and maintenance costs. When you decide to own a home, you accept the responsibility for paying these expenses so make sure to include these additional costs into your monthly expenses; property taxes, home/hazard insurance, utilities, maintenance, home owner association fee (HOA) if applicable. Still unsure if you would rather own or rent? One of the advantages of renting is being generally free of most maintenance and responsibilities and the flexibility of moving almost as soon as you decide too. But by renting you lose the chance to build equity, take advantage of tax benefits and protect yourself against possible rent increases. There are many rules you may have to follow according to your landlord, such as hanging large objects on the rental walls. There are many considerations in choosing between renting and owning. These include: Do you want to spend several years in a house and in a neighborhood? Do you enjoy lawn and garden work? Might you need to move suddenly to take care of someone in your family? Do you want to keep your assets accessible in the bank, or do you want to invest long-term in a home? Ask yourself these questions, then move forward with your choice. Remember owning a home has tax advantages, both short and long term. Keep in mind the amount of money a renter spends on renting a home can be about the same amount of money that an owner of a home pays for their monthly mortgage. And the homeowner gets the tax benefits not the renter! So remember the advantage of owning a home, your property will build equity, you will have a sense of community, stability and security, free to change décor and landscaping as you please, and tax benefits. But do consider you as the owner of the house are responsible for maintenance, property taxes, you don’t have the mobility of a renter, and there is a possibility of foreclosure and loss of equity if you are unable to make your monthly mortgage. If you are ready to own a home contact Mark today and he will be happy to find a house in your price range and one that fits your needs!
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Keller Williams Realty-Elk Grove