Benefits for First Time Home Buyer
So you are sitting on your couch listening to your upstairs neighbor argue with his girlfriend and you start wondering is there a way I could stop renting? Most of us have been in your shoes and thinking about buying your first home can be intimidating.
Every day in America, people buy their first home. Buying a home is moving you into the grown up league. It requires responsibility. Yes I said responsibility. You will have to mow the grass, repair any issues and maintain it all on your own. No more calling the landlord and saying “fix it”.
One of the benefits of being a first time home buyer is than many mortgage packages were designed just for the first time home buyer. The Federal Housing Authority (FHA) has numerous loan programs to help first time home buyers.
Equity in Your Home
When you rent, you pay the landlord and he builds equity. When you buy, you pay your mortgage payment and you build equity. After a few yours you now have what is called an asset. If you had an emergency, you may be able to borrow money against that asset. If you were still renting, you would be calling mom for the money.
Pride of Home Ownership
One of the biggest benefits of home ownership is the pride that you own something. It is yours. You can change it anyway you want too. If you want a garden you can grow it. If you want a private pool you can add it. If you want to invite friends over, you may not have to worry as much about neighbors complaining (unless you are way out of control).
I am not a tax expert, but many of us know that you can get homeowner exemptions, tax credits, home mortgage interest deductions and energy deductions. Can you get any of these in your apartment?
No More Rent (or surprise increases)
Rent can go up and you have to deal with landlords rules are two big complaints that renters have. Many apartments don’t have laundry inside the apartment, so you have to use the apartment laundry. That can be such a hassle. Just think if you own your own home, you can have your own washer and dryer. You can leave your clothes in the dryer all week and no one will steal them. Seriously though, you just have more privacy, more freedom and better financial security when you own your own home.