Homeownership has always been a hallmark of the American dream. However, people continue to pay more to rent rather than taking the plunge and buying a home. For many reasons, you should consider buying a home instead of continuing to waste money on renting a place.
No matter where you live, chances are you’re going to want to make it your own. The unfortunate thing is when you rent, you are limited to the changes you can make to the space. There will be no knocking down walls or renovating a kitchen. Instead, as styles change your space will remain the same.
It is not uncommon for renters to face disastrous situations at the hands of the landlord. The landlord can force you out for a variety of reasons. Some examples include: if they decide to sell, rent to another person, or choose to end your lease. Even though a landlord is supposed to keep maintenance up on the property, they can take extended periods of time to fulfill that obligation. If you’re a homeowner, you’re no longer at the mercy of a landlord. You fix what’s broken and do not risk getting evicted for no apparent reason.
The beauty of a house payment is as long as you have a fixed mortgage, your payments remain the same. Renters are often subject to increases in their monthly payments due to rises in inflation. The trick is to lock in a payment that you can handle and make sure the payments are fixed. No matter how much inflation rises, you’re not at any risk of increased payments over time.
One of the best perks of owning a home is your ability to deduct your mortgage interest payments on your taxes. In addition, you can also get tax deductions for eligible expenses. This is not available to renters. You pay your rent with no tax deductions.
Unlike renting, with each payment you make, you’re building equity in an asset. To put it simply, when you decide it’s time to sell, you’ll have money built into the house which you can use to help pay for the next home you purchase.