Homeownership is an investment and a wealth-building tool as it increases in value. There are countless online tools available that help you to evaluate your current financial circumstances and whether it can render a monthly mortgage payment lower than your monthly rent.
But there are multiple factors to consider before you make the most significant purchase in your lifetime. If you are selling your current home to buy a new one, WeBuyCle.com can help you to sell in 7 days. Here are five reasons why ownership is always king:
You Build A Relationship with Your Community
When you purchase a home, you are not just another tenant whirling through a rental rotating door. You become bound to a location and tied to a community. You meet a community, and you become part of that community. You establish a long-term relationship with a neighbourhood. Homeowners experience less crime, higher property values, and an abundance of privacy. An ongoing study shows that a sense of community is crucial to living a long and healthy life which is all the more reason to purchase a home.
A Mortgage Helps You to Save
With every mortgage payment, you pay down your debt and gain an investment. You automatically save opposed to the conscious effort required to allocate money into your investments or savings account. Once you reach the finish line of the mortgage marathon, you own an asset possibly worth hundreds of thousands of dollars. Some economists argue that in today’s housing market, you can save more money by renting as opposed to buying a home. However, data from the latest federal Survey of Consumer Finances exposes that the average homeowner owns a net worth of $195,400, whereas the average renter owns a net worth of $5,400.
Monthly Housing Costs Are Stabilized
When you purchase a home, you remove the intimidation of landlord changes, lease termination, and rent spikes. The national average rent has unwaveringly risen 11.3% since 2014. As a homeowner, your property taxes along with home insurance rates could fluctuate, but you can manage your housing costs with a fixed-rate mortgage. You can also control your monthly utility bills with a few energy-saving strategies, such as getting rid of old appliances for new energy-efficient models, or setting monthly utility payment based on your average yearly usage.
Buying a Home Is an Asset
When you pay off your house, you own an asset, which is the biggest reason why buying a home is worth it. With minimal housing costs, including property taxes, utilities, and so on, you significantly increase your monthly spending budget. Selling your house enables you to liquidize your property and put it toward purchasing a smaller home or moving to a more affordable neighbourhood.
You Can Style the Interior to Your Liking
Home design is one of the most exciting parts of owning a home as you can enjoy enhancing each room according to your taste until you feel at home. A large percentage of homeowners shared that they have a more significant desire to spend time in their home after remodelling. Your interior enhancements, as well as improving curb appeal, improve your lifestyle and add value to your home, making a DIY weekend worth it.