If you are on the fence about buying renting, you need to consider your long-term financial situation. In reality, it’s almost always better to buy a home and here are four benefits of buying a home instead of renting.
When you rent an apartment or home, you don’t enjoy any control over how you set up your place. For example, you can’t add a room or put in a swimming pool. On the other hand, homeowners can invest in their houses and upgrade as they see fit. This is an advantage for people who want to live in their houses and enjoy them to the fullest.
At first, it’s more expensive to buy a house. However, within a few years, you will save money as you won’t see an increase in your mortgage payment. On the other hand, when renting, you will see your monthly bill increase, almost every year. In fact, when looking to the future, you will have a low monthly payment while your friends who rent will pay higher costs than you.
Let’s face it, it’s difficult to avoid taxes. Unless you run a business or hire a qualified lawyer, you won’t enjoy many opportunities to reduce your tax burden. Fortunately, if you carry a mortgage, you can lower your tax burden with little effort. Over the long haul, you can save thousands of dollars in taxes, every year. Otherwise, if you don’t enjoy this benefit, you will watch as the IRS takes a large part of your monthly paycheck.
Most of us find it difficult to invest in the stock market or put money away for the future. Luckily, with a home, you can invest in your long-term financial future without second thought. Over the years and decades, your house will increase in value. In fact, in an economically robust area, you will enjoy long-term gains with little effort. Not only that, you can upgrade your house and put some money into it. Then, your house will rise in value even more.
Without a doubt, if you want to live in a nice house and take care of it, you are better off buying instead of renting.