Right now, you might think you are not ready to own a home. That’s understandable. Home ownership is a long-term commitment and some people would wait to become financially stable during their mid-adulthood before even considering buying a home. The good thing is you don’t have to be like those people. Owning a home in Florida has a lot of benefits and in order to take full advantage of those, you might realize that it’s better to commit to home ownership sooner, than later.
The most obvious advantage of owning a home is that it is a good investment. Statistics show that homes tend to appreciate around five percent a year although this figure would vary from year to year and area to area. Sure, this figure may not seem too big but let’s crunch numbers.
Let’s say you bought a $300,000.00 home but instead of paying cash, you got a mortgage and you had to pay a down payment of twenty percent. That is an initial investment of $60,000. If the appreciation is 5%, then that would mean your house would increase its value by $15,000 on its first year alone. Technically, that is a 25% return of investment based on the initial payment of $60,000 that you made.
Of course, you would also be making mortgage payments and property taxes but the thing is, the interest on these things are tax deductible. Hence, the return on your investment when buying a home is pretty high and almost guaranteed.
You could also save on your income tax. The property taxes you pay, plus interests, is deductible from your gross income. Thanks to the IRS interest rate deduction, your tax obligation is lowered. Think of this as the government helping fund your purchase of a home.
You don’t have to worry about increases in rent. This is another thing homeowners enjoy. Whether the mortgage is a fixed rate mortgage or an adjustable rate mortgage, payments on your home will be maintained within a certain range during a mortgage’s lifespan, which would average about 20 to 30 years. If you compare that to how much rent prices would be 20 years from now, you could just imagine the amount you would be saving.
Owning a home is a form of freedom. When you are just renting, you can’t be free to do whatever improvements you want. You will need to ask permission from your landlord and even if you were able to stylize your rented property and make it chic, you’re not the one who will benefit from it but the landlord since technically they own the place.
When you have your own home, you are the king… or queen. You can pretty much do whatever you want and it is you who will enjoy the atmosphere you have created, not a landlord.
When it comes to space, bigger is better. As opposed to renting an apartment, you will surely have more space in your own home. You have the possibilities of wider rooms and you get the benefit of stepping out into your yard and enjoying the Florida sun
So whether it’s increasing your savings, having your own space or maximizing your freedom, you would always find benefits to being a homeowner.
For more information, contact Great Florida Homes or phone 954 695 7653.
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