buying a home with little money in savings

2 Benefits Of Owning A Home

by Fernando Moore

While buying a house is a big investment, it is also something that offers a lot of benefits. If you are thinking about buying a house and are wondering if you should, here are several key benefits you should know about that may convince you to buy one when you are ready.

It Is a Great Investment

As long as you buy a home in a good, safe community, the value of the house is likely to increase over time. If you look at homes people purchased decades ago, they may have cost only $30,000 to buy. Today, these homes might be worth $150,000. If you buy a house now and take good care of it, the value is likely to increase as time goes by. If the value does not increase, which is rare, the value will at least stay the same.

This means that the money you invest in a house is a good investment. You can always sell the house and make money on it or at least get your money back out of it. In addition, the house you buy will be yours. You will have the freedom to use it how you would like, and you can make any types of improvements you choose.

Owning a Home Offers Tax Benefits

A second thing to realize is that when you own a home, you will get tax benefits. There are several different types of tax benefits you have access to when you own a home, and one of these is the ability to write off the interest you pay on the mortgage. When you file your taxes, you should itemize your deductions after buying a house, because this is the place on your taxes where you can take advantage of writing off your mortgage interest. This can help reduce your taxable income, which means you will pay fewer taxes.

A second tax benefit is the ability to write off the property taxes you pay on the house, and this too can lower your taxes. You might also be able to write off expenses you have on the house for upgrades you make, but this is typically limited to certain types of upgrades that make the house more energy efficient.

Buying a house is a great idea if you are ready, and owning a home offers a lot of benefits. If you want to begin shopping for the right house, talk to a real estate agent.