No one knows what the future holds for you, your family, your job or your finances. But owning your own home is a part of the American dream. This concept of the American dream is so deeply ingrained in our psyche that we sometimes may not make the right decision at the right time in our lives. When making this all important decision to buy that first house or condo it is important that you know all you need to know to make an informed decision.
One of the first things you need to know before you start thinking of owning your own home is if it is the best choice for you. There was a time that very few Americans owned their own homes. It has only been relatively recent that home ownership was available to the masses and that availability is increasing every day. Financing has become must easier to obtain and potential home owners are becoming much more financially savvy than any other time in our history. With all of this it is still wise to look at owning your own home as a financial transaction. There are definitely economic differences in renting and owning. At one time you could get a better return in the stock market but nowadays with the uncertainty in the financial markets that may not a valid argument. On the other hand, Uncle Sam offers some tax deductions the stock market cannot duplicate. Each year as a homeowner you can deduct part of your mortgage interest and real estate taxes if you exceed the standard deduction which most homeowners do in the first few years of their mortgage. This can be a windfall for most first time home buyers because most will receive a tax refund for those first few years.
When you have decided that owning your own home may be a good decision look at some of the pluses in which a dollar value can be assigned. First of all there is the pride of ownership. It is by far the number one reason people ultimately buy their first home which gives you that sense of stability and security that you have made an investment in the future. By owning your own home you have the freedom to paint the walls whatever color you desire and crank up the stereo without fear of your neighbor pounding on the ceiling to be quiet. You can choose the decorating that best suits your tastes and change them whenever you like. Owning your own home is a part of the American dream and who doesn’t like for dreams to come true.
