The Benefits of Homeownership
Becoming a homeowner comes with great responsibility, but also great rewards. If you are wondering if owning a home makes sense for you, here are several benefits of homeownership that may help you decide:
1. It’s a good long-term investment. With the prices of homes moving in cycles short-term, the property value will not increase drastically short-term. However, if you remain in your home for the long-term, it could increase in value and provide you with a good return on your investment.
2. You have creative freedom. When you rent a home, you must abide by your landlord’s requirements for the property. Owning a home gives you the freedom to create your own living environment—so enjoy transforming a house into your home by owning pets, making changes to the paint and flooring, and more!
3. An opportunity for you to build equity. With each mortgage payment, a part of the payment goes towards reducing the amount owed and you own just a little bit more of the home, which in turn increases your equity. Additionally, as your home increases in value, the more equity it creates for you!
4. You can enjoy tax deductions. There are several tax deductions available for homeowners, which can include your mortgage interest and property tax from your federal taxes, as well as many state taxes. Certain closing costs may also be tax deductible.
5. You can improve your credit score. Having a mortgage is considered “good debt.” Therefore, it is likely to improve your credit score as long as you make all payments in full and on time.
6. Better for you. The National Association of Realtors (NAR) has studies and reports available that claim homeownership is linked to better mental and physical health, as well as improved community engagement.
We would love to help you enjoy the many rewards homeownership can bring! Contact a local HOMESTAR Mortgage Loan Originator today with any questions you may have or to get started with the mortgage process.