6Best Things About Homeownership

Our economy is struggling. Home prices are plummeting. There's an overflow of unsold houses on the market, with many of them being properties that have been foreclosed upon. Home buying naysayers are definitely justified in their arguments against home owning. But despite what these masses say, the concept of buying a home now should not be quickly dismissed. Hold back the eye rolls and the chuckles, and check out this exclusive look into the top 6 reasons home buying today is actually a good idea.

1. You get to call shot gun

The good thing about our currently "crummy" economy is that it intimidateda lot of buyers out of purchasing a home, basically creating a buyer's market— in which the purchasing party has the upper hand dueto the an increasing supply of homes and a diminishing number of buyers— for the lucky few who decided to stay. And thanks to the expiration of tax credits once intended to boost sales, even fewer people are on the market to make the big buy.This means both prices and sales have taken a hard fall, and it sounds scary, but the decline isa good thing if you're the one buying: Now, not only are homes more affordable than ever, but your chances of negotiating an excellent deal from an eager seller are in its

highest, especially if you refuse to budge on your offer. Should you hate the living room in a prospective home, you have the option of parlaying a lower sale price or including a provision in the contract that states the sellers will renovate the room prior to your move-in. If not, you have the alternative of moving on to one of the other 3.6 million homes under the housing market's inventory.

2. A mortgage is affordable

Lower interest rates mean a lower mortgage payment. The average rate for a 30-year mortgage now? 4.8%, a big drop from a whopping

6.3% just two years ago.How much of a difference does that 1.50% make? Let's say you have a loan amount of $250,000. Based on a 30-year term, a 4.8% interest would amount to a mortgage of $1,306.44 (as calculated on a mortgage calculator), whereas a 6.3% interest would come down to $1,539.35 a month. That's a difference of $232.91 a month— a savings of $2,794.92 annually, and $83,857.60 over 30 years!

3. Tax deductions!

People are so focused on the part about paying property taxes every quarter that they fail to look at the tax advantages that homeowners benefit can from. With home ownership come tax

breaks you can't get from renting. For instance,

homeowners with a loan amount of less than $1.1 million can deduct the money spent on paying their mortgage interest rates as long as they meet the following requirements:

paid to the city, all expenses related to home office maintenance, and moving costs associated with relocating for work.

4. It's makes for a great rainy day savings account

You know that a portion of your

monthly mortgage is applied to your principal payment— the original amount loaned to you by your lender. What you may not realize is that this part of your repayment is not a loss for you— instead, you're building up your home equity, or the value at which your house is appraised, minus your remaining mortgage payoff amount. (For example, if your home is appraised at $250,000, and your remaining payoff amount is $30,000, you have $250,000-$30,000, or $220,000, in equity.)The home equity you accumulate can be taken out as a loan in cases of an emergency, or for home projects, such as additions or renovations. Otherwise, it acts as the ideal automated saving account, growingand remaining untouched until it's needed.

5. You can be proud of your home

It's tough to find a great rental for a good price in most areas. A lot of owners aren't willing to acknowledge your personal preferences, such as stainless steel appliances or stained and polished hardwood floors, especially since they know that there'salways another tenantwilling to take your place if you decide to walk away. And because renovating anything that can use an update would be pointless for something you don't own yourself, oftentimes, you're left to settle with "mediocre" as opposed to perfect. With buying, you can have the best home, in the best condition, located in the best neighborhood.And any work that you perform on the house, such as additions, renovations, or updates, would serve, not only to allow you to show off your brand new abode, but also to increase the value of your house. This, in turn, increases the potential profit you make should you decide to sell.

6. Things will get better

The housing market functions on two cycles: a buyer's cycle, in which there are more people selling than there are buying, and a seller's cycle, in which there are more people buying than there are selling. Though we're in the middle of a buyer's cycle today, eventually, people will begin home buying again, and the cycle will shift into the seller's court: the demand for houses will go up, as will their values. This is great news for those who bought their homes while prices were low, as they can capitalize on the amount of equity they gain through their investment.

The bottom line: yes, the economy's condition may not seem optimal for an investment as big as home. But before you completely write off home buying, remember the silver lining that comes with every cloud.

The preceding material has been brought to you by the White Picket Fence Home Buying Institute™. For more home buying help, visit http://bit.ly/wpfhbinj1.