Home ownership represents different things, for each individual! For some, it represents, the achieving, of one of the key components, of the American dream. Others emphasize a better way, to serve their individual, and/ or, family needs, goals, and priorities. In other cases, the decision becomes a financial, and/ or economic one, because, either owning a home, of one’s own, creates a needed, tax advantage, or savings, or a reasonable investment, as compared, to renting, where all the monies expended, merely go to your landlord. For the vast majority of Americans, their house’s value, is their single, biggest, financial asset. With these things in mind, this article will attempt to briefly consider, examine, review, and discuss, some of these essential aspects and considerations of home ownership.
Whatever, the American Dream, means, to most people, an individuals fulfillment, and acquisition of their own home, is, often, personally satisfying, and meaningful! Some look at it, pragmatically, while others, consider this a needed, achievement, in order to consider themselves, personally, on the road, to success, whatever, that means, to each individual.
When we consider our family, and/ or personal needs, most of us, seek the finest way, to do, what’s best, for the needs, goals, and priorities, of our loved ones! When we own, rather than rent, we have the opportunity and ability, to personalize, and/ or customize it, to better serve what is specifically needed, and desirable! Some seek some sort of special kitchen, bathrooms, or other areas, which they feel, make their house, into their home. Only, by owning, does this become possible.
Even though, the tax reform legislation, reduced certain tax deductions, and expanded standard deductions, mortgage interest, for the most part, remains deductible. By reducing tax liabilities, owning, often, becomes more affordable, than renting. Although, in certain higher – tax states (known as high – SALT), the cap, on state and local taxes (at $10,000), makes owning, less attractive, than previously, deducting a part of the real estate taxes, becomes an advantage, of home ownership. When we rent, everything we pay, goes to the landlord, and we experience no, longer – term, financial or economic benefit. Owning a house, over time, means possessing an asset, as well as a place to live!