Low Home Prices and Interest Rates
If it is economically feasible for you, you should consider a home now while home prices, including interest rates, are at fantastic lows. Not only will you get a whole lot of home for the price, it is possible that you could benefit from potential tax breaks. Also, if you take the time to itemize your federal income tax return, your mortgage interest and real estate property taxes could be deductible.
Better Sense of Community, Stability, and Security
Something to consider if you’re thinking about renting instead of buying a home is that most popular neighborhoods and their communities have limited rentals available and more often no rentals at all. By now you should have done your homework and have a good idea of the community you’d like to live in. Be it because of the schools, the small town feel, the city life, the amenities or the commute, you may have no other choice but to buy to have the opportunity to live in the area of your choice.
Another thing to keep in mind if you are considering renting is that rental properties are a transitional part of their communities. Your neighbors more than likely change frequently making it impossible to create a community bond. If you buy a home you automatically become a permanent member of your community. You can build relationships with your neighbors; your children can make life long friends and you will connect with community businesses.
Better Deal to Own than to Rent
With the current all time low interest rates and spectacular home prices, the amount of money you would pay as a renter could often times be around the same or sometimes even more than the amount your mortgage payments would be if you were a homeowner. With the tax benefits that may be available to you, the savings could be significant.
Homeownership is a smart choice if you have arrived at a stable place in your life. You’ve chosen a life path and are choosing the actions you will need to achieve it. You have amassed a sufficient amount of savings or have gotten to a point in which your cash flow is secure, and the dangers of defaulting on a loan and damaging your credit rating is minimal. If this is where you are, the advantages of owning a home far outweigh the disadvantages, and you are prepared to begin shopping for the perfect home and the right loan for you and your family.