Financing Options Are Still Available To Help You Achieve Your Dream
Owning your own home…it’s one of the greatest achievements in life. But while homeownership is a dream many Americans share, a lot of us find saving for the down payment to be a major hurdle. Others have money available through things like 401(k) accounts and mutual funds, but don’t feel right dipping into those investments. If you fall into one of these two groups, I have good news for you. Today, even with all the doom and gloom real estate and mortgage news in the press, there are still many options allowing you to purchase a home with little or no money down.
A Secure And Affordable Investment
Homeownership is one of the smartest and most secure investments you can make over the long haul. It can also be one of the most affordable. You don’t really need to have a lot of money in the bank to become a homeowner.
Don’t let all the negative news scare you away from being a homeowner. There are still of low rate, low down-payment mortgage options for individuals who can fully document their income. The only difference between now and last year is the mortgage lenders want to make sure your home ownership experience is set up for success.
Yet, it’s not just about money. Few things in life compare with the pride and satisfaction you get from owning your own home. Perhaps you come from a long line of homeowners. Or maybe you’re the first in your family to ever be one. Either way, a home can be the foundation for a lifetime of memories. It may even become a family treasure to be passed down over the years – one that preserves family history and provides your heirs with a welcome sense of financial security.
Owning Can Cost Less Than Renting
The first question you need to tackle in your quest to become a homeowner is “Why should I buy instead of rent?” Renting certainly has some advantages over owning. If you need to move frequently, if you’re not at a stage of your life where you want to commit to the responsibilities or costs of maintaining a home, or if your future income is extremely uncertain, renting may be the best option. Just don’t assume that renting is more affordable than owning.
A monthly mortgage payment is often lower than the monthly rent on a much smaller property. If you’d like to compare what you’re paying for rent against what you might make in house payments, call an experienced and ethical loan professional that can provide you with a complimentary rent versus buy analysis.
Owning your own home is like having a savings account that you can live in. Every month, the payment you make on your mortgage adds to the equity you have in your home and makes your home asset a more valuable part of your portfolio. Money paid for rent simply evaporates each month. Plus, research has shown that real estate has proven to deliver a highly reliable increase in value compared to other types of investing over the long haul. If you’re renting, those reliable returns are going into your landlord’s pocket, not yours. When you add in the federal tax deductions for mortgage interest and real estate taxes (consult your tax advisor for details), homeownership becomes an even more attractive idea.