Renting VS Owning
Are you ready to make the move from renting to owning a home?
This is a question that everyone faces at some point in their lives. Purchasing your first home is a major step and should be examined closely to see if it is the right decision for you!
Below is a chart that shows some of the advantages to owning your own home. Take a few minutes to review the advantages and please contact me so we can discuss in more detail whether or not now is the right time to pursue the “American Dream” of owning your home!
- More fixed cost for the term of the lease.
- Not gaining equity, but not losing it either.
- When the lease is up, you can just move.
- There is generally less work in maintaining a rental home or apartment.
- Smaller amount of “up-front” cash — Security deposit.
- No matter what happens with the value of the home, you will NEVER gain equity.
- Limited or NO ability to “personalize” your home.
- NO tax advantage to renting. Your landlord gets all the tax breaks and benefits.
- More variable cost.
- Equity may go up, down or stay stagnant.
- If you want to move, your home generally must be SOLD.
- Work needs to be done by you or paid by you.
- Generally, a larger initial investment — Downpayment.
- Over time, the mortgage balance decreases and your equity builds.
- The ability to decorate and remodel to your taste and lifestyle.
- There is a tax advantage to owning your own home. The interest you pay is tax deductible! Contact your legal/accounting advisors to discuss your situation.
If you feel that owning a home is the right decision for you, then it is time to get started!
To make sure that your home buying process goes smoothly, I would suggest that you make a checklist to keep track of what you have done and what you still need to do. Please feel free to contact me if you have any further questions