6 Pros of Owning a Home

Purchasing a home can be expensive initially, but nothing compared to the costs of not owning a home over time. You may be surprised to find that owning a home is a smart move for you financially, and you’ll reap other benefits from your home purchase as well. 

1. Taxes

• A Plethora of tax deduction possibilities are available to you when you purchase a home, including:

• You can deduct any mortgage points paid from your income taxes. 
• You can deduct the interest paid on a mortgage over the course of the term along with settlement expenses paid when you purchased the property.
• You may be able to deduct your property taxes for your primary residence from your income taxes. Upon sale of your primary residence (you must have lived at the property for 2 of the last 5 years).
• You can deduct up to $250,000 of proceeds from your income taxes as an individual and up to $500,000 as a married couple.
  
  

2. Equity
You’ll build equity in your home each month by paying down your mortgage. When you rent, you pay your landlord’s mortgage.

3. Control of your monthly housing expense
With a fixed rate mortgage your principal and interest cannot adjust unlike your landlord that can increase rent every year.

4. Credit
Paying a mortgage helps build credit over time, giving you a more positive credit.

5. An appreciating asset
Your home value is likely to increase over time. You accrue equity, which improves your net worth, credit score, and can be accessed via loan vehicles such as a refinance or HELOC.

6. Freedom to Personalize
Enjoy something that’s all yours - a home you can customize.