After the mortgage crisis that turned into an economic downturn, many individuals are finding it difficult to receive mortgage loans. This has resulted in skyrocketing prices of rental units, as these individuals don’t have many other options than to rent a home until they can get approved for a loan. If you can get approved for a mortgage loan, it’s time to start buying. Let’s take a look at the reasons why below.
Freedom To Customize
When you rent a home or apartment you don’t get the freedom to customize your space. Sure you can add some physical items, but you can’t change up the paint, hang things on the wall, or other similar customization options. This can be a real drag when you want to change things up.
When you get your own home, you don’t have to follow any strict rules about designing and decor. You can hang walls, install new cabinets, new flooring, and the list goes on and on. Freedom of customization is one major advantage of homeownership that renters don’t get to experience.
You Can Get A Fixed Mortgage
When you buy a home at a fixed rate you know exactly what your monthly housing payment will be. There are no rate surprises and no one can kick you out, that is unless you don’t pay your bills. With a rental, you can’t always get a fixed rental rate.
In addition, a rental lease is only for a specified amount of time. These times are typically 3 months, 6 months, or one year. It’s very rare to find a rental that has an agreed time of more than a year. This means that you could potentially lose your rental property each year and have to deal with not only moving to another place but possibly a higher rental rate.
As a homeowner, you can deduct your mortgage interest payments from your taxes. In addition, you can deduct other eligible expenses, such as energy-efficient improvements to your home.
When you purchase a home, you are making a major increase in your personal wealth. The equity you get from this purchase can help you financially, as lenders are more likely to loan money to those with a home than those without one. When you invest in multiple homes, such as purchasing Jamaica villas as a vacation home, your equity grows even more.
In addition, the big advantage that most people talk about when it comes to the financial aspect of buying a home is that you are spending your monthly payment towards buying equity. When you rent, your monthly payment is not buying you equity, rather, it’s just buying you a place to live for that month. Eventually, when your home loan is paid off, you won’t have to spend any more money. Those who rent will continue to pay monthly payments for the rest of their lives.
Hopefully, you have seen just why it’s a good idea to invest in buying a home rather than sticking with renting. There are many benefits you are missing out on when you chose to rent.