Buying or Renting? Here’s What You Should Do
There’s a new misconception. For a while, many people thought they would be saving money by renting instead of purchasing a home with a mortgage. However, today that’s not true. Buying a home is now 33.1% cheaper than renting a property in the United States! You can now be a homeowner without breaking the bank.
Before you consider buying a home and searching for the perfect house on the market, check your budget with a mortgage calculator, and then seek additional guidance from a financial professional such as an accountant. Instead of getting your heart set on a home you can’t afford, find one that’s in your budget with the help of professionals.
The long battled question of those looking to move “Should I buy or should I rent?” is now answered. You should buy a home.
Being a homeowner has it’s perks. The major benefit of being a homeowner is that you have no landlord collecting rent, no one to tell you the rules and conditions upon living there. Now, if you have an HOA you might still have regulations, but your home is still your home and there’s no one looming over you each month.
If you’re planning on purchasing a home with a downpayment and a mortgage loan, make sure you have a few things in order. You’ll need documentation that shows your income, and any other assets you may have. Another document you will need is your credit score, which you can look up online for free! Lastly, you’ll need personal information such as an ID to prove that you are who you say you are. When going through a lender, the process can seem daunting, but having your documents in order will make the process easier.
Although no one sees debt as a benefit, mortgage loans can highly increase and build your credit. When you make payments on time, your credit score will rise to your benefit. Another financial term to use to your advantage is a property tax. As a homeowner, your property tax and interest can be itemized for tax deductions.
So if you’re in the market and you’re looking to move, the smart thing to do is buy a home while it’s cheaper than renting. After all, who doesn’t want to save money?