First-Time Home Buyers | 6 Reasons You Should Buy Now

If you are considering buying your first home, you’re probably like most property virgins who have reservations about whether buying and owning a home is right for you.

The more you know about buying your first home, the easier the entire process will be for you.

Here are six great reasons why you should buy a home right now:

Pride of Home Ownership:
This may seem cliché, but pride is the #1 reason people want to own a home. You have the freedom to make the choices you want, whether it is landscaping, wall color, or choosing home décor. Plus, owning a home gives a sense of security, and stability. You are investing in your future, instead of your landlord’s future.

If down payment is a concern for you, there are down payment assistance programs that you might qualify for. Click here for a link to Oregon’s First-Time Home Buyer’s Down Payment Assistance Programs

$8,000 Cash in YOUR Pocket!
Seriously! First time buyers who buy before December, 2009 will receive a lump sum of $8,000 in the form of a tax credit (this could be money in your pocket). For more on the First Time Buyers Tax Credit, click here.

Property Appreciation:
Although the real estate market has been hit hard the last few years, real estate moves in cycles, sometimes up, sometimes down. But even though the value of property fluctuates, historically real estate increases in value over time, and many who purchase their home consider their investment as a hedge against inflation. Buying now, at the low end of the market, virtually guarantees that your home will appreciate over the next few years.

Build Equity:
Each month, part of your monthly payment is applied directly to the principal balance of your loan, which reduces your obligation. Every payment that you make reduces the interest on your loan, and increases the amount that is paid toward your principal balance. As the amount of your interest decreases, and the amount you pay toward principal increases, the amount of equity you have in your home builds. Over time, you will build significant equity (and wealth) just by making your house payment.

Home Owners Are Wealthier Than Renters
Simply put, those who own their own homes build more wealth than those who rent. See what the Federal Reserve Board says. You may be able to own a home for about the same amount you now spend on rent. To see homes you can buy at your current monthly rent, click here.

Tax Deductions:
Real Estate property taxes paid for a first home are fully deductible for income tax purposes. Additionally, many of the costs associated with buying the home are deductible. Mortgage interest is also fully deductible on your tax return, as long as the balance on your mortgage is smaller than the price you paid for your home. Read what the IRS has published regarding tax information for first-time home buyers.

It's a great day to buy!
Teresa Kolb

http://www.newberghome.com/

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