Purchasing property is a major step in anyone’s life, says advantage property ventures. Therefore, most people should consider all the benefits carefully before making the purchase to ensure it is the best thing for them. It is normal to have reservations about beginning a major process that at times can seem complicated, although after just a little bit of education, it can be a very smooth process. There are many benefits to owning property that renting or leasing does not give to the recipient.
While financial reasons may be the number one concern for many that purchase property, it is not the number one benefit. No amount of money earned or saved can out weight the pride of home ownership. This is the major reason that one yearns to buy a home, and this feeling is what many long for with financial stability.
In addition to the pride of ownership, there are many financial reasons to own a home. Appreciation is one major reason. While it may seem like you are just sinking money into a home or property with every mortgage payment, the value of that home can actually increase, therefore, increasing your net value over time which renting cannot offer.
It can also be a great tax shelter. If the balance of your mortgage is smaller than the value of your home, you can deduct mortgage interest from your tax return. You may also be able to deduct property tax from your return and receive a first time home buyer credit from the government. In addition to these benefits, you will qualify for a capital gain exclusion which can be a benefit of up to $500,000 for those who qualify.
One last financial benefit is an indirect benefit. You can leverage your mortgage reduction to increase your equity. When your equity increases, you can qualify for home equity loans which have low interest rates to finance whatever you may need a loan for.
All of these and more are great benefits of why it is good to own advantage property ventures. It is a major step but one worth taking to reap all the benefits that you would never see with renting or leasing.
Advantage Property Ventures, L.P. 