Owning a home is one of the largest and most exciting steps a person or family can make in their life. Along with this wonderful step in life comes a great amount of financial rewards as well as the personal satisfaction that you have a home that is yours. Thankfully, in today’s San Diego real estate market, families and individuals with good income and credit can own a wonderful home at an affordable price.
Even though today’s market is a great time to buy, everyone’s individual situation is different and it might not be the ideal time for you to buy a home. If you have a majority of these traits you or your family may be ready to buy a home:
- You have a realiable form of income and good credit
- You can afford a down payment and relating closing costs
- You are looking for a change to build equity and become eligibile for tax breaks and credits
- You are financially ready to take on household maintenance/home-improvement projects
- You have a savings plan large enough to withstand a loss of job, illnesses, or any other financial setbacks
- You are planning to live or keep your home for at least four year
If the majority of these traits or all of these traits match your current situation, GREAT! Owning a home in today’s market could be a great decision for you and/or your family. Along with home ownership come a tremendous amount of benefits. The most common benefits of owning a home in San Diego include:
- Improves Credit – Owning your own home or piece of property helps you establish financial credibility.
- Independence – Owning your home will provide you and/or your family with more independence and usually more privacy factors than renting usually would. You become free to remodel, paint your walls, have pets, and many more other things without having to consult a landlord or rental company for approval.
- Investment – Values of Real Estate generally (depending on the market) rise over time. Also, the more payments you make on your home as well as the more you add to your home’s value (i.e upgrades and repairs) the more investment value you add to your home.
- Increase in Savings – As long as the market is improving, your mortgage payments are unlike rent payments in one major department; savings. When you may a rent payment your money is gone but when you make a mortgage payment your payment is going towards building equity. The more you pay off on the home the more you own your home. Another benefit of this equity is it helps you qualify for other loans.
- Tangible Asset – When lenders look at your home purchase, most will see your purchase as a low-risk tangible asset. This means that lenders will be more likely to loan a high percentage of value in regards to your home.
- Pried – One of the largest values of owning a home is the reason why I, as a Real Estate Agent, love my job. That value is the pride owning a home gives an individual and/or family. Owning a home brings a large amount of pride, satisfaction, and enjoyment almost immediately after purchase.
- Security Against Inflation – In a growing market home prices will continue to rise and go up but when you buy a home you secure yourself and lock your home’s value in while the market continues to improve.
- Tax Advantages – Another large benefit of owning a home is the tax advantages you get as a home owner. Most homeowners are able to deduct their mortgage interest and property taxers as an expense against their income. You may also be able to write off cost recovery or depreciation of your home.