Paying rent is like pouring money down the drain, while buying a home can put that money back in your pocket! Home ownership offers many advantages and will likely be the largest and wisest investment you will ever make!

Owning a home not only gives one a sense of pride that renting just can't provide, it offers tax benefits not available to renters. For example, did you know that the interest portion of your monthly mortgage payment is tax deductible and during the first few years of ownership over 90% of your monthly payment is interest? An example: Let’s say your gross income is $35,000 a year and you are paying $900 a month in rent. When comparing this with a monthly house payment of $1,000 a month where 90% of the monthly payment is tax deductible interest, that adds up to a monthly tax credit of $900 or an annual tax adjustment of $10,800! Depending on your tax bracket you can put up to $2,500 and as much as $5,000 every year back in your pocket! Taking our example a little further, deduct this tax savings of $200 to $400 PER MONTH, and your effective monthly payment is between $600 to $800 per month - lower than the $900 you would be paying in rent.

Other important factors are also working in your favor as a homeowner, such as home value appreciation (as opposed to rent appreciation!). The above example is not intended to replace advice from your tax advisor nor is it meant to give taxation advice.

Many first time homebuyers hesitate in buying a home simply because they do not understand the many aspects and benefits of home. Our knowledgeable and experienced Loan Specialists are here to show you how owning the home of your dreams may be easier than you think!