A Guide To Owning or Renting Your Home

Owning versus renting your home is a longstanding and often passionate debate. The reasons for owning or renting differ according to financial calculations and your personal preferences.

If you seek to own a home, do you prefer stability, building equity, control over home and its responsibilities, and tax benefits?

Financial costs differ between purchasing a home and renting. Homebuyers’ substantial costs can be divided into one-time payments upfront and at the closing.

Advantages Of Buying Your Home

1. Building Equity Paying your mortgage over time will result in building some equity in your home.

2. Your Home As An Appreciable Asset Your investment in your primary home essentially keeps pace with inflation rather than generating strong investment returns.

3. HELOC As A Source of Funding Once you have built some amount of equity and have paid your mortgage on time, you may be able to set up a home equity line of credit or HELOC.

4. Possibility of Rental Income When you live in your primary residence, you don’t often think about renting out your property.

5. Stability In Owning Your Home It is wonderful to raise your kids in one home, become part of the neighborhood and community. There is a certain calm feeling of not searching for a place to live and pack and unpack boxes.

6. Tax Benefits After The Tax Law Changes This is a reduction from unrestricted amounts previously deducted. You can still deduct the proportionate interest associated with your apartment building’s mortgage if it is a co-operative.

7. You Have Freedom To Do What You Want Are you creative? Your home can be a good option for you. There may be some conformity required, but your wallet limits design and remodeling.

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