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Property taxes are deductible, too. Whatever property taxes you pay in a given year may also be deducted from your gross income, lowering your tax obligation.
Stable Monthly Housing Costs
When you rent a place to live, you can certainly expect your rent to increase each year - or even more often. If you get a fixed rate mortgage when you buy a home, you have same monthly payment amount for thirty years. Even if you get an adjustable rate mortgage, your payment will stay within a certain range for entire life of mortgage - and interest rates aren't as volatile now as they were in late seventies and early eighties.
Imagine how much rent might be ten, fifteen, or even thirty years from now? Which makes more sense?
Some people are just lousy at saving money, and a house is an automatic savings account. You accumulate savings in two ways. Every month, a portion of your payment goes toward principal. Admittedly, in early years of mortgage, this is not much. Over time, however, it accelerates.
Second, your home appreciates. Average appreciation on a home is approximately five percent, though it will vary from year to year, and in some years may even depreciate.. Over time, history has shown that owning a home is one of very best financial investments
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