Renting a home can seem less risky than buying a new house. Mortgages, down payments and loans, can be overwhelming, however, renting a home means that you will always be spending instead of building equity.
We present to you the advantages of purchasing a home:
- Less monthly expenses. You can reduce your monthly bill by minimizing the use of air conditioning or heat, adding insulation, solar panels, or by changing the lighting arrangement, improving energy efficiency. Homeowners can make bigger improvements in their own homes, while tenants cant not.
- Personalize your home. Tenants have limitations due to their rental agreements, they can not arrange or customize the property at their own taste or need. Owning the house will give you the freedom to do so, without worrying about losing your security deposit.
- Rent costs are not constant, they change over the years, usually, they tend to go up. Fixed mortgages are not variable during time, meaning that not even inflation affects the rate. Experts recommend saving money to buy a home and to make a 20% down payment, signing in to a 30-year fixed mortgage, assuring the homebuyer a better deal.
- Homeowners can take tax deductions. Homeowners can deduct eligible expenses and avoid federal taxes on earnings from the sale of their property. In addition, they are allowed to take deductions over mortgage interest payments.
- Homeowners can earn a profit from the sale of their home. Making an investment is as important as saving money. By owning a home, you're building your own equity instead of a landlords. If you still want the apartment-like space, consider a condo!
As a plus, currently there are low-interest rates and prices in the market, therefore it is a recommended season to make an investment and revolt against the bourgeoisie by building your own equity and follow your rules instead of theirs! Viva la... our fat pockets? Yes. Viva la fat pockets!