As a resident of Mount Pleasant, chances are that you would like to own a home at some point in your life. When you finally make the decision to purchase a home, a Mount Pleasant SC real estate agency will prove helpful in your quest. So why exactly do people want to own homes, are there any tangible benefits? Of course, there are!
Living in your own home is very different from living in a rented house. There are so many things you can do as a homeowner that you can only dream of as a tenant. For one, you can make whichever improvements you deem necessary such as adding a fresh coat of paint, repaving the driveway, changing the lighting system, renovating the bathroom and even adding an extension. The possibilities are endless really.
Investing in the Future
Just because you finally own a home doesn’t mean you have to live in it forever. Much as property prices tend to dip from time to time, the general trend is that of appreciation. Therefore if today you buy a home for $300K, chances are that you will be able to sell it at a much higher price 10 -15 years down the line. All you’ll have to do when that time comes is get in touch with a Mount Pleasant RE/MAX agent to help you find a buyer.
Deductions on Mortgage Interest
The largest chunk of the payment you make towards your mortgage is in the form of mortgage interest. Provided your mortgage balance is lower than the cost of your house, your mortgage interest will be fully tax deductible.
As you continue to pay off your mortgage over time, you will own more and more of the property in question, (remember, chances are that it will appreciate in value). This is what’s referred to as equity. Equity is a wonderful thing because the more of it you have, the easier it will be for you to access credit. This simply means that you will be able to borrow money for your business, personal projects, etc. against your home. People also use home equity loans to clear expensive short-term loans since the former have significantly longer repayment terms.
Preferential Tax Treatment
If after selling your home, you end up making more profit than the allowable home sale gain exclusion, that extra profit will be deemed to be a capital asset. The IRS gives preferential treatment to capital assets. The only requirement is that you should have owned the home in question for over one year.