The property market can be a minefield for first-time buyers. Before you familiarise yourself with suitable properties in your local area, you must first decide whether you wish to buy or rent.
There are several benefits associated with both options but buying tends to be the preferred choice for a growing number of property seekers. Continue reading to find out why your next home should be bought as opposed to rented.
Customisation
One of the main determining factors for property seekers on the hunt for their forever home is customisation. A house should be much more than just four walls within which to eat and sleep. After a long day at work, you should be excited to return home to your home that has been fully customised to your interior design specifications and personal taste.
There are several different ways to do this. A collage of images of family members and friends can remind you of the important things in life. An interior DIY project is a fun way to improve the appearance of your home on a budget.
By renting, your landlord is likely to disapprove any changes to the interior or exterior of your property and any home décor projects will be lost the moment you return your keys. These small steps can be the difference between a house and a home.
Equity
If you rent a property from a landlord, monthly rent payments will only end up in their pocket. If you own a home, on the other hand, monthly mortgage payments contribute towards building equity. Equity is the value of your interest in your home and an accurate representation of the property’s current market value.
By building up equity over time, your home can become much more than just a place to live and can even be considered an investment. The more equity you have, you more credit you can access.
To kickstart the process of purchasing a rumah Malaysia based or elsewhere, research your local property market both online and in-person today.
Home Appreciation
When you purchase a property, you are investing in the future of your home for years to come. More often than not, your home will continue to appreciate in value over time. This is a great way to establish a solid financial foundation and increase your net worth over time. You can also leverage the cash you have invested.
For example, if you purchase a home worth $300,000, its value can appreciate by up to 3% each year. This is an increase of up to $9,000 or more annually.
The exact figure depends on a number of key factors including current local property market conditions, the length of time spent living in the home, and any minor or major interior or exterior renovations completed during your time there.
Tax Benefits
As well as greater appreciation, you will also qualify for a number of tax benefits when you purchase your next home. With each financial year, homeowners can deduct interest on their monthly mortgage payments as well as property taxes.
While these benefits may seem minor at first, savings can add up fairly quickly and you can end up saving a considerable amount of money in the long run. When the time comes to sell your home, chances are you will not be required to pay taxes on either the entire profit or a portion of the profit you make from the sale.
Purchasing a home is one of the most expensive and important purchases you will make in your life. With attractive tax benefits and the option to save money, there is simply no question when it comes to deciding whether or rent or buy.
Greater Privacy
One of the main downsides of renting is a lack of privacy. While you may live in the property full-time, your landlord owns the building outright and can request to inspect the premises at any time and for any reason. You may also be forced to contend with noisy neighbours or an unsafe building.
As a renter, there is little you can do about this. Purchasing your own property can offer you greater privacy in a number of ways. For example, you are much more likely to benefit from private outdoor space. You are also far more likely to live in a detached home or at least a property that provides greater distance from any neighbouring homes or commercial buildings.
When it comes to searching for their forever home, a growing number of people are choosing to buy. There are several reasons why it is the preferred choice amongst property seekers all over the globe.
These include the option to fully customise the interior and exterior of your home, greater home equity and appreciation, a wide range of tax benefits, and greater privacy.