5 Benefits of Owning Your Own Home
FIRST HOME OWNERS GRANT WILL DROP 30 June 2018 – DONT MISS OUT!
If you’re a prospective first home buyer, you are embarking on a journey which will yield great rewards. However, the process can be difficult to navigate. It takes a lot of time, as well as physical and mental energy. However, the struggle is worth it to have a place to call home.
Here are the top five benefits of owning your own home:
Take Advantage of the First Home Owners Grant
Until June 30th 2018 the Federal Government is offering the First Home Owners Grant. This financial incentive makes it easier for first home buyers to climb on to the property ladder.
Value Adding
As a homeowner, you have the freedom to update, renovate and decorate as you wish. Along with creating a more comfortable, stylish space for your family, you can add significant value to your home by undertaking renovations and improvements.
This added value can later be used as equity to redraw, or as profit when and if you decide to sell. However, ensure you don’t overcapitalise, as this can wipe out potential profits.
Gain Equity
Of your monthly mortgage payment, part goes toward interest, and the rest pays down the principal balance. Equity is the part of the principal balance you’ve already paid or the percentage of your home you already own. So, paying the principal balance is like depositing money in the bank, as it can be drawn upon to reinvest in your current home or go toward a new one.
Increase Your Sustainability
Becoming a homeowner allows you to create a sustainable financial future. By locking yourself into mortgage repayments, you will level out your living expenses. So, when your income increases, the excess cash can be budgeted elsewhere.
Security
If you own your own home, you’ll have financial security for a long time to come. Unlike renting – where you have to renegotiate when your lease expires or face the prospect of having to move out should your landlord decide to sell – by owning a home, you have a roof over your head for the foreseeable future.
As a first home buyer, the First Home Owners Grant (FHOG) entitles you to $20,000 for buying or building a new home (valued up to $750,000). Eligible properties include a house, townhouse, unit, apartment or similar, which are sold for the first time as residential premises.
For even more benefits of first home ownership, call or email the expert team at No Deposit First Homes today.