Either way, you are paying a mortgage. Let’s look at a few of the benefits that home ownership has to offer .
One of the pros of home ownership is that mortgage rates can be fixed and stable over a given period of time, were as rent payments may very well rise and do so with short notice.
Another plus lies in the tax benefits. Just consider the mortgage interest deduction, point deductions for home buyers, property tax and the mortgage insurance premium deduction. On the other hand, you cannot deduct rent payments from your federal tax return.
Buying a home can be an incredible investment, where you are the one who turns an incredible profit. However, as a renter you are ensuring someone else turns a profit. (Ouch!)
Some believe that renting is more convenient than buying because, “You don’t have to pay for repairs.” However, the price of repairs are included in the monthly rent, along with the landlord’s cash flow profits. (Ouch, again!)
Perhaps most importantly is the freedom and privacy that comes with home ownership! You may decorate and remodel however you choose.