Although some people may argue that home ownership is overrated, I can think of plenty of good reasons to stop renting and buy house. And with the present mortgage rates, there has never been a better time to take the plunge. Understandably, owning your property and being responsible for its maintenance can be scary - but this shouldn’t stop you. If you’re nearing the end of your rental lease, here are a few reasons to stop renting.
1. Build Equity
Looking for reasons to stop renting? Consider the amount of equity that you can build in five, ten or twenty years. Equity is the difference between what you owe and your home’s value. Equity builds as you pay down your mortgage and your property appreciates. The more equity you have, the more you’ll profit when you sell the house.
2. Stop Throwing Away Money
The money you pay toward rent each month builds your landlord’s equity. And when you move, you don’t see a dime of this money. Rather than pay your landlord’s mortgage each month, put the cash toward your own home. Start making moves and make ownership a reality. These include raising your credit score to qualify for a home loan, and increasing your savings to afford a down payment.
3. Decorating Control
If you rent an apartment or a house, your landlord ultimately decides what you’re able to do inside the house. Some landlords forbid changing the wall color and they limit the number of holes you can put in the walls. You don’t have the freedom to design or decorate the house to suit your personality. Purchase your own house and you have the final say-so.
4. Stable Payments
Landlords determine how much you pay each month, and they can increase the rent at their leisure. But if you get a fixed rate mortgage loan, your home loan payment remains the same for as long as you live in the property. You no longer have to worry about rent increases, or move because you cannot afford a higher rent payment. Owning is the true definition of stability.
5. Tired of Your Landlord
Even if you love your rental, you might be sick and tired of your landlord. Perhaps your landlord schedules random inspections and visits the house unannounced. Or maybe your landlord doesn’t maintain the house or make needed repairs. This can be frustrating if you’re a renter.
6. Mortgage Rates Are Historically Low
Super low mortgage rates will not last forever. If you’ve ever considered buying your own house, purchasing now can result in a cheaper loan rate and a lower mortgage. Low rates can help you qualify for a higher mortgage amount. As a result, you’ll get more house for your money.
7. You Can Qualify
If you have a high credit score, sufficient income and you meet a lender’s other requirements, there is no reason to throw away money each month. Buying isn’t a complicated process. Plus, your lender or agent is available to guide you through the process. Apply for a mortgage today and you’re one step closer to home ownership.
Home prices have remained stabled in many housing markets. Plus, some markets have seen a decrease in prices and a larger inventory of foreclosures. For anyone looking to buy a home, this is the best time to apply for a loan. What do you think is the number one reason to stop renting and buy a house?