Let’s start by defining buyer’s market as a market that has more sellers than buyers which results in low prices from the excess of supply over demand. A few more things that enhance today’s buyer’s market are:
- Tax credits our government is offering (to learn more visit www.irs.gov).
- The recession has driven down the average home price making home buying more affordable.
- Many properties are listed below tax value, offering the buyer instant equity.
- Sellers offer incentives to make their property more appealing to the buyer.
That may seem confusing but the general idea is simple, the buyer has more properties to choose from with lower price tags. This makes it easier to find the ideal home at the ideal price! Because a home is, more than likely, the largest investment you will make in your lifetime. Finding the ‘right’ house for the ‘right’ amount of money is critical to ensuring you are satisfied with your investment.
If you are considering homeownership, be sure to also consider some of the perks of owning a home.
- No more rent! When you pay your monthly mortgage payment you are paying down on your loan and increasing the equity in your home. This is like paying yourself, rather than a rental company, because the home is an asset.
- Paint if you want to! Generally rental units do not allow you to personalize the space with your own choice of paint and every hole you make in the wall to hang photos can impact your renters deposit. If it is your home, you chose how to decorate it!
- Equity is your friend! Having equity in your home is added peace of mind because it can be accessed with a home equity loan. These loans tend to have a low interest rate and can be used for a variety of purposes including debt consolidation, home improvement and more.
- Interest can be a tax deduction! Generally all mortgage and home equity interest paid to a lender on your primary residence is tax deductible. This should reduce your taxable income, in turn reducing the amount of taxes you will are required to pay for the year.
- Property tax can also be a tax deduction! The annual property tax you pay on your home can be used like the mortgage interest to help reduce your taxable income.
Home ownership is an incredibly rewarding experience and now is a great time to buy. If you are interested in taking advantage of this buyer’s market, visit Truliant’s mortgage resource center for calculators and tools that can help you decide if buying a home is the right choice for you.
