We've learned the true value of homeownership over the last two years, particularly the security and sense of accomplishment it can give. But there's a lot more to owning a home. Here are some of the non-financial and financial advantages of homeownership. Consider all of the ways homeownership can affect your life if you're planning to buy a home now.
Personal and emotional advantages of homeownership
Because it is a space that is entirely yours, owning a house gives you a great sense of pride. You can also modify your home to your heart's content as a homeowner. Having a spot where you've left your mark increases your sense of pride and ownership.
That sense of ownership can also assist develop social, community, and civic advantages outside of your shelter. Because the average homeowner lives in their home for more than a few years, this is the case. As a result, the longer you live there, the stronger your connection to the community will become. This might help you feel more connected to your community and have a stronger feeling of ownership. According to the National Association of Realtors (NAR),
“Living in one place for a longer amount of time creates an obvious sense of community pride, which may lead to more investment in said community.”
Purchasing a home is a major step toward financial stability
Homeowners benefit financially from home price appreciation, and equity gains, and have a hedge against the effects of inflation. These advantages can make a significant difference in your life. Your net worth grows as you accumulate equity through property price appreciation and mortgage repayment. In addition, your 30-year fixed-rate mortgage can help you keep one of your main monthly payments stable for the duration of your loan, even if inflation is high.
NAR Chief Economist Lawrence Yun outlines how you can begin to notice these long-term rewards of homeownership as soon as you buy:
“Owning a home continues to be a proven method for building long-term wealth. . . . Home values generally grow over time, so homeowners begin the wealth-building process as soon as they make a down payment and move to pay down their mortgage.”
It's reassuring to know you've made a solid investment right away. And that may offer you more confidence in your home purchase decision.
The advantages of owning a home are numerous. As a homeowner, you can be proud of your living area and know you've made a wise financial decision. To discover more about how homeownership might benefit you, contact a local real estate advisor today.