There are two ways to get your dream home in San Diego: you can either chose to buy property in the area or you can rent your home. While renting property is the choice of many, buying property and moving into your dream home is obviously the best option, viable even if you do not have the money necessary at the moment of the purchase.
If you do it responsibly, in a carefully calculated way, borrowing money to buy the home of your dreams is not only a quick way to acquire property ownership, but also an excellent investment into your future. If you find the house of your dreams, taking out a mortgage to buy it is beneficial for a number of reasons:
– Mortgage loans usually come with very low interest rates – taking out a mortgage is the most cost-efficient way to buy your dream home. The interest rates on mortgages are much lower than the interest charged by the lending institution for any other types of borrowings for the simple reason that mortgage loans are secured against real estate property as a collateral. If you calculate how much it would cost you to rent the property you want to buy, you will see that purchasing the property on a mortgage is way cheaper than paying the monthly fee and the overhead expenses for rented home;
– Calculable costs – rental fees change all the time, but mortgages usually represent a known cost in your monthly budget. This stability is especially true for fixed rate mortgages, but adjustable rate loans also come with a maximum limit, so they are calculable as well;
– Improved credit rating – taking out a mortgage loan and paying the installments on time will not only bring you closer to achieving full ownership over the property, but it will also improve your credit score, making further investments easier for you. Your credit score will be used by lenders to determine your interest rates, should you need to lend money from a financial institution in the future, so the better your score, the cheaper the loan that you get;
– Improved value – the real estate market is recovering, so your property value is likely to increase over time;
– Interest deductions – home mortgage loan interest rates are deductible, making mortgages a reasonable and affordable choice;
– Emotional benefits – I left the most important argument for the end: there is no feeling comparable to the pride and freedom of living in your own home. If you own your place, you can modify and decorate it the way you want to – there is no landlord to limit you;
Having your own property is the best decision from a financial and emotional perspective as well. Even if you currently have no money to purchase the property of your dreams, there are numerous advantageous and affordable financial solutions you can choose in order to obtain the money – calculate and weigh your options carefully and you will surely enjoy living in the home of your dreams.