HOME OWNERSHIP MATTERS

Buying a home is exciting and is going to be one of the biggest financial decisions you will make. Becoming a Home owner may be a great decision for many, but of course it is definitely not the best choice for everyone. It is a big decision that only you can make for yourself and your family.

Trends in home prices, personal income and mortgage rates, Combined with the tax and other financial advantages of home ownership, make this an excellent time to turn your dream of homeownership into a reality. If you’re thinking of buying a home, you’ve probably already asked yourself, “Can I afford to buy?”
An equally and just as important to ask is, “Can I afford to continue renting?” No matter what you’re currently paying for rent, your total cash outlay over a period of several years will probably add up to a much bigger total than you may have realized, and could be building equity in your own new home.
The chart below shows how quickly the rent payments you’re Making add up each month, by calculating in what this money would earn if invested at 5 percent interest

RENT PAYMENT VERSUS MORTGAGE PAYMENT – The chart above is for illustrative purposes only. The results shown are purely hypothetical and are not meant to reflect any investment
source; https://www.bankrate.com/calculators/savings/simple-savings-calculator.aspx

MORTGAGE RATES

Rates for conventional 30-year fixed rate mortgages remain at historically low levels, and increasingly popular alternate
forms of financing (FHA, VA, and Rural Housing Loans) may make your home even more affordable. These decreased mortgage rates mean that more families will and can qualify for affordable financing. Yours Could also be one of them as well!

CalHFA has first and junior loan options for low to moderate income families, including low to zero interest rate down payment assistance loans. https://homesinsdcounty.com/real-estate-blog/calhfa-first-time-home-buyer-assistance/

HOMEOWNER TAX ADVANTAGES

When you’re figuring out how much you can afford to commit to monthly mortgage payments, don’t forget the tax Advantages of home ownership. Both property taxes and interest payments on a mortgage for an owner-occupied home are currently tax-deductible. In the early years of a typical mortgage, all but a small percentage of each monthly
payment is used to pay off the interest on the loan. This means that as a homeowner, your annual taxable income
could be substantially reduced by deducting the payments you make on property taxes and yearly mortgage interest.
Ask your CPA, attorney or tax preparer how buying a home now would affect your tax situation at the next filing deadline on April 15th.

HOME VALUE APPRECIATION

In addition to tax advantages, you can also benefit from any increase in the value of your home both through appreciation and improvements you add for your own comfort and enjoyment.
At some point, someone has probably told you that if you rent, you’re “throwing away” money. When people say this, they’re usually talking about the opportunity to build wealth in a home over time by building home equity. If you rent, you won’t build wealth in your home over time.

One of the biggest advantages to owning a home is building equity, which means that your property gains value over a period of time. The difference between the price you paid for it and the current value, the amount of money you own on it, is called equity. Essentially, it’s the wealth you hold in your home. The equity in your home grows over time as you pay down the balance of your mortgage. While building equity is not guaranteed, most houses tend to increase in value over time. Which helps explain why the location where you buy is so important.

Take a good look at your personal financial situation in comparison to housing price trends and mortgage plans available in your community. You will probably discover that you are closer to home ownership than you realized. And that, in fact, this is the time you’ve been waiting for.

Since, as we mentioned earlier, Buying a home is probably one of the biggest investments you will ever make. When it is your first home, it is especially important that you seek qualified assistance. Your local real estate agent or broker, has the experience and expertise to help you find and purchase the home of your dreams.

IS HOME BUYING RIGHT FOR YOU?
Advantages versus Disadvantages of home buying

advantages and disadvantages of home buying

GETTING STARTED

The first step in becoming a homeowner is to take a good look at your finances and compare it to the housing price trends and mortgage plans available. You could be closer to home ownership than you think. The next step is to find a local real estate professional who has the experience and expertise to help you find and purchase the home of your dreams!

The benefits of home ownership RoadMap

BENEFITS OF HOME OWNERSHIP ROAD MAP