If you're wondering whether home ownership is right for you, a good place to start is by weighing all the 'pros' and 'cons'. Consider the many advantages of owning your own home. There are many practical and financially sound reasons for buying your first home, whether you start with a condo, a duplex flat, a townhouse, or even a single family home...
- Home ownership is an excellent way to build equity. That's an important consideration if you're trying to build some financial stability - especially if you happen to be single and are doing it on just one income.
- There's the security that comes with making an investment for the future. When you own your home, you have a resource to fall back on.
- Paying a mortgage off is usually better than "throwing money away" on rent. You could be paying high rents for years, adding up to many thousands of dollars, yet never end up with anything that's yours.
- Your rental expenses can often be out of your control - possibly now, but particularly in the future. However, if you lock in a long term mortgage, you'll know exactly how much your payments will be for years to come.
- Owning your own home gives you the option of earning extra income, either by renting out the entire property or by taking in a tenant.
- Homeownership affords an asset to borrow against if you ever need to. Even if your mortgage isn't paid off, you can still borrow against the equity of your home - and at far better interest rates than you'd normally get for almost any other type of personal loan.
- Property values are expected to continue to appreciate throughout 2008 and 2009, so your investment is earning a good return while you enjoy it.
There are other exciting reasons to consider home ownership. You'll gain independence and pride of ownership. The feeling of satisfaction and accomplishment it gives is one of life's great pleasures.
Math doesn't lie. To see if it makes financial sense for you, check out our Rent vs. Buy Calculator Here