5 Reasons Why Owning A Home Is Better Than Renting
Nothing beats living in a place you can truly call your own!
Lifestyles are very dynamic, mobile, and fast-paced nowadays that the prospect of paying long-term for your own home might seem intimidating. Sure, owning property is one of life's best investments, but it's too easy to put it off and resort to the easier option of renting. You might be having these questions: What if you have to move elsewhere? Is owning a home worth all the paperwork? Will you be able to pay it off sustainably? All valid questions, yes, but the reasons below might just convince you that having your own home is more valuable (and worth it!) than renting.
1. As opposed to renting, paying to own a home is more rewarding in the end.
Renting a house and investing in your own property are similar in the way that both require regular payments. Since these dues up a considerable chunk of your income, why not make sure that you gain something out of it in the end? Paying rent may enable you to reside in a property for a certain time, but the benefit often ends there. Paying in installments for your own home, however, might seem to cost a bit more at the beginning, but after a certain period of time the property will be yours, andyou and your family can be free to live in it—eventually at zero cost.
2. Home ownership builds your credit.
Buying a home scores you a property in the end, but its benefit on your credit score is also worth mentioning. Having a stellar credit score allows you to apply for a loan in the future, and your ability to pay for a valuable investment assured creditors that you can return the money you borrowed. You’ll be able to reap the benefits of your investment—only if you pay your fees on time.
3. You’re free to renovate and work on home improvement projects
It’s not uncommon to feel the need to improve the home, repaint the walls, and plan a makeover. However, if you’re just renting the space, chances are, you won’t be able to achieve any of these goals. As much as possible, we want to showcase and express who we are in the home that we live in, and you can only completely transform the space into the haven that you want if you own it.
4. Your own home now may be a potential business investment in the future.
Having your own home means you have the freedom to do whatever you want with it, and like many entrepreneurial minds, even earn money from it. Land increases value over time—imagine how much your current investment will be worth in the next decade, should you decide to sell your property. And while a house is susceptible to eventual wear and tear, owning a safe and comfortable structure may prove profitable in many ways: you may lease extra bedrooms into transient spaces for travelers in sought-after vacation lodging sites like AirBNB or Roomorama, or even renovate a small part of your house into a space where you can start a home-based business.
5. If you score a good home loan arrangement, owning a home is cheaper than renting in the long run.
What puts people off most about owning their own property are the up-front costs that come with it (think: legal and procedural expenses to secure your ownership), overwhelming interest rates, and the ever-present monthly bills that come with one's lifestyle. But, as your property's value appreciates in time (more so if you find ways to treat your home as an avenue to earn), you'll find that these expenses more than compensate for how much you pay when renting.
If the idea of interest rates and mortgage fees scare you from taking the big leap, now is the best time to change your mind. You can find a better home loan that can save you from these worries. Security Bank offers a 6 for 5 Promo, where qualified borrowers availing a home loan or a home equity loan shall enjoy lower interest rates and up to P65,000 waived off mortgage and appraisal fees.
For a loan rate that is fixed for five years, home loaners can enjoy a low interest rate of 6% p.a., while those who avail of a three-year fixed rate will enjoy a good deal from its 5.5% p.a. interest rate. The waived fees in the amount of P65,000 is inclusive of the following fees: appraisal fees, Documentary Stamp Tax, mortgage registration fees, notarial fees, processing fees, and cancellation fees—making your first big investment easier.
If you currently have an existing home loan and want to switch to a better home loan, the bank offers refinancing so you can take advantage of this special rate and waived fees.
Security Bank's 6 for 5 Home Loan Promo runs from February 29 to May 31, 2016. Potential clients need to submit a complete loan application. To learn more about the promo and to get started on your investment of a lifetime, visit securitybank.com/645.
Per DTI – FTEB SPD Permit No. 2965 Series of 2016