Trying to decide whether to rent or own? Let’s look at the factors to consider.
Home ownership is part of the American Dream, and helping you find a better way to your dream home is why Mike and I started Houwzer in the first place. We want you to own a home and reap the financial benefits including:
- Return on Investment. The median sales price of existing single-family homes rose 81% from 1993 through 2013, according to the NAR, and historically home rise in value anywhere from 4% to 6% per year. And you always have the option to earn rental income on the property if you move and decide to retain ownership.
- Tax Advantages. As a homeowner, you can deduct mortgage interest payments and property taxes. The key is to file an itemized federal tax return. Any payment of the principal cannot be deducted. Only the interest part of the loan.
- Stable Payments. If you choose a fixed mortgage rate, your principal and interest payments remain the same for the life of the loan. But remember, you must also now account for paying property tax and insurance.