This is usually a big question for potential homeowners: should I continue to rent or is it time to buy? There are many advantages to owning a home, not the least of which are mentioned below:
Sense of pride. Owning a home is a big part of “the American dream”. Home-ownership can lead to a great sense of accomplishment and pride.
Steady payments. As a renter, you run the risk of your lease cost going up unexpectedly at any time. With a fixed rate loan, your payments will generally remain consistent over the life of your loan term (although they can still be subject to changes due to property taxes, cost of housing insurance, etc.).
Better credit opportunity. Home-ownership is looked upon as a sign of fiscal responsibility by credit lenders. Also, as you build equity in your home over time, you can borrow against it if you choose to.
Freedom. Set your inner decorator free! As a homeowner, you have the freedom to decorate your home (and outdoor space!) whenever you want, however you want. You don’t need the landlord’s approval every time you want to paint a wall or hang a picture.
Tax deductions. Many tax incentives are available for homeowners, including the first-time homebuyer tax credit, or tax deductions for homes that incorporate energy-efficient/green elements. For more information, go to www.irs.gov.