Picture it: Two chairs on a front porch. A white picket fence. That tree with a tire swing.
Owning a home has long been described as a fulfillment of the American Dream. When you buy your first home, you and your family take an important step toward a better quality of life, improved educational opportunities and overall financial well-being.
With the ease and simplicity of renting, you may still ask yourself from time to time, “Why is home ownership so important?”
We can help explain that. Here are just a few of the ways you can benefit from being a homeowner:
Homeownership can improve your quality of life
Compared to renters, homeowners report greater self-esteem, a higher quality of life and feeling more in control of their lives.
Owning your home means stability. When you come home each night, you don't have to worry about noisy neighbors, surprise landlord visits or a monthly payment that raises each year. All of which is to say, you can relax more. And increased relaxation can lead to an overall happier and more productive life.
Children benefit from living in a stable home
Adults aren't the only ones who can benefit from homeownership. Studies have shown that children who live in a stable home environment attain higher achievement levels in both math and reading. They also have fewer behavioral problems and are more likely to graduate college.
Furthermore, parents in a stable home usually become more involved in their children's lives. Recent data shows that homeowners are 16% more likely to belong to PTAs, for example.
Homeowners are more engaged with their community
And the benefits of owning a home aren't limited to you and your family—they also extend to your community.
Homeowners tend to live in a community four times longer than the average renter, meaning they have more of a reason to participate in their community and make their neighborhood a better place to live. Homeowners are also 38% more likely than renters to make improvements to their homes. Did we mention that one job is created for every two homes sold?
They're more engaged civically, as well. Homeowners vote more, they know more of their neighbors, and they volunteer more.
Numbers don't lie, and it's evident that owning a home can improve the lives of the buyers, their families and their communities.
These are only a few of the advantages of owning a home, but the truth is that buying a house can be costly and a bit stressful if you're new to the game. So, you may be wondering, why is homeownership sometimes an investment?
You know the old saying, “you have to spend money to make money?” It definitely applies to homeownership.
Owning a home is a key step towards financial well-being
Buying a home is certainly a big purchase, but 77% of homeowners say owning a home helps them achieve long-term financial goals. For example, homeowners can write off the interest they pay on a mortgage up to $1 million, so long as the property is their main or secondary residence.
When homeowners make their monthly payments, that money is going toward owning something—something that can be sold or even rented out later to make a profit. That can't happen in an apartment or rental property.
Even with upfront costs and property taxes, homeownership saves you so much money that experts estimate a homeowner's net worth is 36 times that of renters.
So if you think you're ready to make the move into a house, start researching home loans today. Or, if you already own your home, find out how Utah's HELOC rates can help you turn the equity in your home into cash.
We're here to help. With Mountain America Credit Union's 100% First-Time Home Buyer Loan Program, you can get into a new house with minimal out-of-pocket expenses—as little $1,000 down, believe it or not. To meet with a Mountain America mortgage specialist or call 1-800-277-7703 or schedule an appointment online at www.macu.com.
