Reasons To Buy A House (Other Than For Investment)

Owning a home is a good financial move. A lot of people purchase their homes for two reasons, to fulfill the American dream and also as an investment. Homes are a great investment because they tend to appreciate in value. Homeowners can realize as much as 60% ROI when they remodel or renovate their property. However, besides investment reasons, there are various other reasons why people should consider buying a home. If you are looking to purchase a home with the help of a mortgage lender, but aren’t entirely convinced, read below.

You Get To Own A Home

There is a level of guarantee that comes with owning a home. You remain a homeowner as long as you keep paying your mortgage monthly. With this kind of agreement, you do not have to worry about getting evicted from the property. While you may equate your monthly payment arrangement to rent, remember that your landlord may choose to cancel your agreement at the end of your lease. With a home, however, you are guaranteed stability and longevity.

Home Prices Can Be Locked In

Homeowners understand that it is possible to lock in the price of their homes. With this, they expect to pay a certain amount monthly until their mortgage loan has been paid off in full. They can plan their finances around this amount to ensure financial stability. However, the same cannot be said for a renter. Rents can be reviewed upward by landlords. Other factors, like the rising costs of homeownership, may also influence rent prices thus affecting the disposable income available to the renter.
When both sides are compared, a homeowner can significantly enjoy paying the same amount in mortgage for years to come while a renter cannot enjoy the same advantage.

Inflation Hedge

Property prices are constantly increasing. What this means is that an average renter may find it difficult to keep up with inflation and their purchasing power, especially in the face of rising rental prices. A property owner, on the other hand, can continue to pay the same amount, despite the rising inflation rate. With homeownership, property owners can get more for less, especially when they choose a fixed-rate mortgage.

Forced Savings

As a homeowner, paying your mortgage every other month is like putting money away in savings. Your savings aren’t just sitting in the bank but also providing shelter to you and your family. While you may not see the savings as anything today, it is possible to draw equity on your home in the nearest future when you need it the most. As a renter, there is no way you can fall back on your rental property as financial leverage.

Homeowners also get to enjoy an added advantage in the form of financial discipline. The goal to make monthly mortgage payments helps homeowners to become more financially responsible thus encouraging them to save towards their monthly mortgage.

Closeness To Work Or School

Location matters a lot when choosing a home. The location of your home can help you to cut down on commute time and money. This means that you can access your workplace or school without having to stress more or spend more money. On the other hand, it may be harder to reach this goal if you are renting. Most properties that are around the business districts or schools are often expensive to rent. The prices of those rental properties may be discouraging and force you away. The result is more money and time spent on commuting to and from work or school.

This can also be a factor in keeping friends and maintaining relationships. Moving away from your established community due to increasing rent or lack of vacant rental properties can put a strain on relationships. On the other hand, you won’t have to worry about this if you own a home and remain faithful to its monthly payments.

You Can Install Backyards

Many people love the relaxing feel of spending the evening on their porch or backyards. In fact, owning a home allows you to choose the perfect landscape design for your backyard. Whether you want a little aquatic habitat or you are interested in a bed of flowers, homeownership offers you just the perfect avenue to customize your space. The same cannot be replicated for a rental property. With rental properties, you need to be cautious of the terms of your lease. Most often than not, lease terms are a little constricting with regard to flexibility. You may be unable to make changes to the property at will lest you lose your security deposit.

More Living Space For The Family

Space is one of the biggest factors to consider when compiling the pros and cons of homeownership. In the era of the COVID-19 pandemic, you can keep your family and other relatives indoors and safe. Keeping your loved ones indoors means that they won’t have to interact with other tenants who may have been out in public and not complying with the safety and health rules. As a tenant, you stand a bigger chance of contracting the virus or having your space encroached into compared to being a homeowner.

Install Custom Fixtures And Designs

Another important advantage of owning a home is that you have the liberty of customizing your property to meet your standards. If you aren’t happy with the bathroom or kitchen, you can upgrade, remodel, or renovate it to meet your taste. However, for a rental property, you cannot do the same.

There are many advantages to owning a home. If you are interested in making the move, you should begin by speaking to a mortgage lender. Visit https://www.primemortgage.com/ to speak to a mortgage lender or to learn more about home loans.

Prime Mortgage
555 Anton Blvd Ste 150
Costa Mesa California 92626
7146955899

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