5 Reasons to Buy Instead of Rent
February 19, 2019 | Lombardo Living
Between getting pre-approved for a mortgage and finding the perfect home, buying a new home can often seem unattainable when you’re renting. While your rent may be lower than what you anticipate your mortgage payment will be, buying a new home is usually the right choice over renting – and oftentimes, your mortgage isn’t higher than your rent after all! Below, find 5 awesome benefits of buying instead of renting.
1) Put down roots. If you’re renting a home and moving every couple of years, it can be hard to feel established in a city or neighborhood. When you buy a home in a community, you’re able to plant roots and create long-term relationships with your neighbors. There’s no place like home!
2) Customize your space. Want to paint your daughter’s bedroom purple? How about black and gray stripes in your loft? Perhaps a chandelier in the dining room? Many landlords place restrictions on cosmetic changes you can make to your apartment, but when you own your own home, you’re able to make as many changes as you’d like.
3) Fixed mortgage — not rising rent. Rent increases are typical when renting a home, especially if you do not live in a rent-controlled area. If you purchase your home with a fixed mortgage, your house payment stays the same for the life of the loan, whether it’s 15 or 30 years. Not only can this help you stabilize your budget, it can make owning a home cost less than renting over time.
4) Tax advantages. Homeowners can deduct mortgage interest on their federal income taxes, which is a hefty deduction for many as interest payments are often the largest part of a mortgage payment in the early years of owning a home. Property taxes and some closing fees can be deducted, as well.
5) Invest in yourself, not your landlord. When you make mortgage payments, you’re investing in your own home, not your landlord’s. Making mortgage payments builds equity, wealth, and can help establish a solid credit score needed for future loans.
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