Are you torn between buying or continue renting a place in Chicago? If yes, you can have come to the right place. Herein, we have rounded up six reasons why you ought to buy instead of renting in the Windy City.
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Enjoy Property Tax Breaks and Benefits
That’s right; you can save money on taxes each month when you buy a house. You see, homeowners are allowed to deduct property taxes and mortgage interest when they file their tax returns. If you buy a home worth $300,000 with 10% down, for instance, you can end up saving more than $330 in mortgage interest and property taxes. This reasonable savings from tax benefits usually make owning a home cheaper than renting.
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Make Automatic Savings
Whenever you make your biweekly or monthly mortgage payment, that money goes to create more equity in your home. The loan pay-down is a smart way for a homeowner to invest in his or her own home. In a way, it is much akin to forced savings, whereas the rent you pay each month goes directly into the landlord’s account. Even better, you can redraw, refinance or top up your mortgage to take advantage of the equity in your home. The same goes for the best South Loop condos to invest in.
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Can You Keep Up with Rising Rent?
If you apply for a fixed-rate mortgage (FRM) when purchasing your home, you are looking at the same monthly payment for the entire lifecycle of the loan. Can you say the same about renting? Unless you’re in rent-controlled neighborhood or building, there’s a good chance your rent will go up every passing year.
All in all, a home bought on a fixed rate mortgage adds a ton of stability to your budget, allowing you to focus on your money on what really matters.
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Buying is an Investment
You don’t need a class in economics to know that renting is a recurrent expenditure that doesn’t benefit your bottom line in the long run. Owning a property, on the other hand, is a tangible investment that comes with a slew of financial benefits. In fact, it’s well-known that homeownership, if done right, can get more returns on investment than even stocks. More importantly, you can sell your property for profit if it appreciates in value. The good news is that there are plenty of South Loop condos to invest in. -
You’re Your Own Landlord
As a homeowner, you can do whatever you like with the property. Fancy a fresh coat of paint? Looking to spruce up the curb appeal with a new pool? Unlike rentals where the landlord is the boss, you can renovate, sell, rent out or change it as you see it fit. -
Say Goodbye to Eviction
As a renter, you are always battling eviction, rent hikes, and other renting hassles. When you buy a home, that’s a thing of the past.
