The true benefits of homeownership that many first-time homebuyers enjoy:
1. Locked-in monthly expenses
Renting and hopping around from place to place can be exhausting—not only because of the constant upheaval but also because rents keep rising. Buying a home fixes your costs in place (save for increases in taxes and insurance) and allows you the peace of mind of knowing your mortgage payment will be the same next year as it is this year. This might not seem so dramatic when you look at it in the short term, but if you’re thinking ten, fifteen years out, it’s a big deal.
2. Building a nest egg
In addition to fixing your monthly costs, you’re also buying an asset for yourself instead of spending money to pay off someone else’s. The majority of Americans have a significant portion of their net worth in their home’s equity, and it’s long been a reliable way to accumulate wealth over time. Many homebuyers are sick of throwing their hard-earned money towards rent and love the idea of using a home, sort of like a savings account, especially when residential real estate has consistently appreciated over time. While it might not be the get-rich-quick scheme many people dream of if you’re going to pay for a place to live anyway, why not be the primary beneficiary of your own hard work?
3. The joys of personalization
Sure, you can decorate an apartment or a rented house, but you can never make those intrinsic changes that make a place truly feel like it represents you. Spend enough time in a home, and you’ll know exactly what you want to change to make it perfect. And decorating and remodeling can (and should) be fun. Your home is your castle, and you should make yourself feel as comfortable as possible. That’s why most people choose a home that has just the right amount of stuff they love, whether it be location, kitchen, or layout, and then change the rest of it themselves to truly make it their own.