Buyers: Is It The Right Decision?
Buying a home is one of the biggest investments you will ever make. Here are a few good reasons for home ownership that you might want to consider.
Personal fulfillment: Owning your own home gives you a sense of pride, stability and security. It’s an investment in your future.
Appreciation: Over the years, real estate is an investment that consistently increases in value. It’s true that real estate moves in cycles – sometimes up, sometimes down – but overall the majority of your housing costs are protected against inflation when you own a home.
Tax Advantages: Home ownership is a great tax shelter. Mortgage interest and property taxes are fully deductible, which can lower your taxes. You should consult a tax advisor for details on these benefits.
Build Equity: Each time you pay your mortgage, part of it is applied toward the principal balance, thereby reducing your financial obligation (i.e. you owe the bank a little bit less every month) and adding to your actual percentage of ownership. If the market value of your home increases as well, this too increases your percentage of ownership, or equity. Equity in a home is a strong basis for your credit rating and capability.
