The Bonuses of Buying a Home

It seems like investments are the best way to get ahead of the game in finances, but who wants to take the kinds of risks that so many investments involve? Real Estate is one of the most secure investments a person can make. Yes, strange things can happen and property values can go down, but it is only a matter of time before they climb right back up. The simple mathematics of the growing population of the world should be enough to convince anyone of this. In the next thirty years, there will be another three billion people on our planet that need a place to live. Imagine what the average house will be worth. As a general rule, homes appreciate in value by five percent or so per year. Though this may seem small compared to watching the stock exchange, when you consider the investment you are making, five percent is a huge return. Especially once the house is paid off. If you made a $40,000 dollar down payment on a home and it increased in value five percent from the original price of $200k. That is a $10k dollar return on your $40k investment. This does not take into account property taxes and some other costs, but it gives you an idea of the great investment buying a home can be.The tax savings on buying a home are another great bonus. The government allows homeowners to deduct property tax and interest amounts from their gross taxable income, therefore lowering the amount of tax you will then have to pay at the end of the year. In other words, the government is subsidizing your home purchase, not to mention all of the money your are saving for the future by pumping your monthly housing payments into your own equity rather than throwing it away into someone else's bank for rent. This is like forcing you to save your money but giving you a great place to live at the same time, and these are savings you will be really glad you have. Not only do your payments continue to add to your largest asset, but they will also stay at a fixed rate. Ten or fifteen years into the future, you will still be making the same size payments for your housing!Though these monetary positives of home buying are very appealing, nothing is more valuable than the freedom you will achieve from buying your own home. Home improvements are completely up to you (as long as you have the necessary permits for larger scale projects). The environment that you live in is almost completely up to you, and every time you make an improvement it simply adds to the value of your investment. You will almost always have more space at your own property as well. Apartment complexes are often cramped and have very little privacy. There really is something to be said for "the privacy of your own home," because there is really no place that should be more comfortable, secure, and private.Think about taking the leap and making the best investment choice you can by buying your first home! You won't be disappointed in the long run, guaranteed.

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