For someone thinking about purchasing there first home, things can be a little intimidating. You just have to keep telling yourself the benefits far outweigh the risks.
There are many benefits to owning a home. Sure, there are the usual obstacles to get over. First, most people don’t want to put a lot of their own savings into it, they’d rather just rent.
Also, they don’t want to have to go through the lengthy process of buying the home and even searching for the right home in the first place. Then they don’t want to have to go through the mortgage process and go into debt to get the home. While these are definitely disadvantages, the simple fact is that there are so many major advantages to owning a home that going through these steps ends up being well worth it in the long run.
The most notable benefit to owning a home is equity. Equity is the value of the home. When mortgaging a home, your initial equity is the down payment you made on the home. As you make additional payments, your stake in the equity of the home rises (since the lender owns the rest of the equity). However, it is also important to note that equity also rises when the value of the home rises. If you are currently renting you are not only building equity for your landlord in most cases the rent you pay is usually a few hundred dollars more then what their mortgage payment is with their lender. When you own the home the equity is solely yours, the equity of the lender does not increase. Also because of recent foreclosures & short sales, there are actually quite a few homes on the market that you could actually purchase with allot of existing equity already in them by the time you close. Due to a lower sales prices vs the actual value of the home. This is why many homeowners are sitting on gold mines.
This equity in your new home can be used for valuable things such as home equity loans and home equity lines of credit. These are low interest loans with the home used as collateral. Equity opens up many valuable new doors and is just one reason why owning a home is one of the best things you can ever do.
Another advantage is the tax savings. So not only is your monthly mortgage payment cheaper then what it would be renting a home, Every dollar of interest paid in each month on the mortgage payments can be used as a tax write-off. This can be a very considerable amount, especially early on in the loan when the interest is front-loaded, and it can save you a lot of money in taxes or get you larger refund.
Of course, it really comes down to the simple fact that you own a home. That home is yours and that with that comes a certain pride. Owning a home is one of the most important things you will ever do. Don’t pass it up, don’t choose to rent if you don’t have to. There are just too many advantages of owning a home to pass up.
About the Author:
ZFG Mortgage headquarter in Tulsa, Oklahoma is the #1 rated mortgage lender in the state of Oklahoma. At ZFG Mortgage we pride our selves in offering the lowest mortgage rates at the lowest closing costs. We have & A+ Rated rating with the Better Business Bureau & have been nominated & won numerous awards like the BBB Torch awards and the BBB Honor Roll for NO complaints in the last 3 years! If you are need of a Home loan in Oklahoma, then go with the lender you can trust. Apply online or call for Free Rate quote or Pre-Approval.
6670 Lewis Ave # 200
Tulsa, OK 74136
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