Being a potential first-time homebuyer means there is most likely a lot of conflict and questions running through your head, such as: Should I buy a house? Or is it cheaper to rent? Well as your Denver mortgage lender, our team at Fairway Independent Mortgage Corp. has made a list of the top 5 benefits of owning a home versus renting one.
1. Creative Freedom:
Owning a home gives you full freedom to customize your own space. You will not have to seek permission from a landlord, nor will you be fined if you paint the walls a different color. You have complete freedom to change, alter, or paint anything in your home that you would like.
Houses appreciate in value, so if you stay in one for years at a time, then you are automatically saving money. Your home builds equity the more you pay towards your Denver mortgage, and the more your home increases in value. This helps you create savings. If you only rent, then you will never see the money you pay monthly, again.
3. Predictable Payments:
If you have a fixed-rate mortgage then your monthly payments will never change for the duration of your loan term. This allows you to budget accurately and know exactly how much you owe towards your home loan and how long it will take you to pay it off. If you are renting, your landlord has the right to increase your monthly rent every year. This makes it more expensive and harder for you to budget.
4. Tax Deductions:
A major benefit of owning a home vs renting one is the tax deductions. Having the ability to deduct your interest payments towards your Denver home loans can save you more money than renting ever could. As a homeowner, you can also deduct eligible expenses towards your home, such as the installation of energy efficient appliances. Talk to your local lender for more details.
Certain pride comes with being a homeowner. Owning a home is most likely the biggest purchase you will ever have to make, so knowing you are financially capable of making this big purchase can give any homeowner a sense of pride. Owning a home also means you are more likely to be involved in the community than if you were only renting. Getting involved in the community and helping improve where you live can also give you a sense of pride.