So, you estimate that your rent payment is about the same as a mortgage payment. When you get a leaky toilet, all you have to do is call the landlord. Your apartment complex has a pool, and you haven’t touched a lawnmower in years.
That sounds like a pretty sweet deal. So, why not just continue to rent? Isn’t it apples to apples?
Research suggests that it really isn’t. The economic benefits of the housing market and homeownership are well documented through multiple studies. Here are three reasons why you should consider buying a home:
- Tax Advantages: There are significant tax advantages to homeownership, including property tax deductions and capital gain exclusions. Over time, these tax advantages, especially when coupled with the equity built by owning your home, will add up to significant savings.
- Your Children’s Success: The children of homeowners do better in school and are more successful later in life. Children of homeowners score better on academic tests, graduate at a higher rate, have fewer behavioral problems, and enjoy a better social environment. Living in an owned home is therefore a predictor of future success: homeowners’ children earn more as adults than renters’ children, are less likely to be on welfare, and are more likely to become homeowners themselves.
- Community and Stability: Homeowners have a much greater emotional and financial stake in their neighborhoods than do renters. Homeowners are more likely to participate in local organizations, they are more likely to vote, and they are more satisfied with their home and their neighborhood. Because owners also tend to remain in their homes longer, they add a degree of stability to their neighborhood.
If you are looking at your finances and thinking it may just be easier to rent, take another look. Just as you wouldn’t switch out drinking milk for soda because it’s cheaper, your living situation is not all about price. There are many factors at play in your purchase, which together can greatly influence your financial success, the success of your family, and the stability of your community.
All real estate is local. In order to make confident real estate decisions, we believe it is important for you to have timely and neighborhood-specific information. The professional real estate agents at Beverly-Hanks & Associates are here to help you make informed decisions about purchasing real estate. Contact us today to speak with an agent about buying homes and land in Western North Carolina.