In part one of this two-part blog series, we went over some basic benefits of owning a home rather than regularly renting. There are several ways you'll benefit from this approach, especially given how low interest rates are on today's home market and the great deals available to you.
At Vision Reality Group, The Albright Team is here to help you find the best homes for sale throughout Las Vegas, plus to show you some of the numerous benefits of going this route if you've been renting for many years. Here are some other major reasons why you should consider a home purchase moving forward.
Gaining Equity in Your Investment
The term "equity" is one you'll hear often when you're buying a home, as it's one of the most important benefits to remember. Equity is simply the difference between what you owe on your mortgage and how much your home is currently worth.
So, for example, if you have a $200,000 home with a $150,000 mortgage, you'd have $50,000 in equity. And as your home appreciates in value over time (assuming you don't sell it), that equity will continue to grow.
This is important because, unlike with a rental property, you actually own your home outright and can't be kicked out by the landlord. Plus, if you ever need to borrow money against your home equity, you'll have a lot more to work with than if you had no equity at all.
A Tax Deduction for Mortgage Interest
One of the biggest tax breaks available to homeowners is the deduction for mortgage interest. This allows you to deduct the amount of mortgage interest you pay in a given year from your taxable income, which can be a huge help if you're in a higher tax bracket.
Of course, there are some limitations to this deduction depending on your income and the size of your mortgage, but it's still a great perk to keep in mind. And of course, if you're still renting, you get none of these benefits.
Finally, while this isn't the most notable benefit for anyone, many people simply enjoy the achievement and status of owning their own home. There's something about being able to say "I own my own home" that feels good, and it can be a great source of pride for you and your family. There's nothing wrong with this being part of the reason you pursue homeownership either!
There are many other reasons to buy a home rather than rent one, but these are some of the most important ones. If you're interested in learning more about any of these concepts, or about viewing our homes for sale, speak to the pros at The Albright Team today.
Kelly Albright is Broker/Owner of Vision Realty Group and has been in Real Estate for 17 years. She has closed over 700 homes in Las Vegas, North Las Vegas, and Henderson.