Choosing whether to rent or buy a property is one of the biggest decisions you’re likely to make in your lifetime, after all, it’s probably the biggest purchase you’ll ever make!
There are benefits to taking either route, and obviously it depends largely on your own personal situation as to what’s right for you.
However here at Search Mortgage Solutions, we think there are five main reasons why you should be aspiring to buy your own home.
Investing For Your Future
While it may seem a long way off to begin with, when your mortgage is fully paid off your home will be 100% yours.
Not having any monthly rental or mortgage payments is a great burden off your shoulders and should serve as a great incentive not only to take out a mortgage, but get it paid off as quickly as possible!
You’re also free to carry out any improvements that you wish on the property without having to worry about getting permission from a landlord.
Not only does this mean you can decorate the house however you want and add in nifty new features, but it will hopefully increase the value of the property, giving you the chance to perhaps upgrade to an even bigger property, or put some money aside for your retirement.
Help To Buy
If you’re wanting to buy your first home to government has unveiled its new ‘Help to Buy’ scheme to help you along the way.
The Help to Buy ISA promises to boost whatever you save toward your home by 25%. So for every £200 you put in you will receive an extra £50, up to a maximum of £3,000.
However, if you’re buying your home with a partner, they can open up their own Help to Buy ISA, doubling your potential bonus to £6,000!
You can only deposit £200 a month each (as well as an initial lump sum of up to £1,200), but we think this is a fantastic way to help out first time buyers get out of their rented property and get on that property ladder.
For more information on the Help to Buy scheme, visit the government website.
While there are more financial and practical benefits of owning your home, the sheer feeling of being part of your own community can easily be overlooked.
Renting can always feel like a temporary means to an end, but once you own your own home you feel like you’re actually putting down admins.
Getting to know the neighbours, the local shops and maybe even the school further down the line if you’re planning a family are all integral parts of building up a community spirit that you don’t quite get in the same way with a rented property.
It’s Often Cheaper
While in many cases renting is a cheaper alternative to buying a property, there are times when mortgage payments could work out cheaper than rent.
Rent costs have soared in the last few years, hitting a record high of £816 in October.
On the other hand, mortgage rates have continued to fall, so there’s really never a better time than to look into taking out a mortgage.