If you are a tenant and have been thinking about buying a home, now is the time. Real estate values are much lower today than they were a few years ago. Interest rates for mortgages are at an all time low. There is even an incentive from the Federal Government, an $8000 tax credit for first time homeowners. That’s a credit right off the bottom line of the taxes you owe, not a deduction.

When you rent you are very limited to the improvements you can make in your living environment. Even if you have a willing landlord that will allow you to explore your creativity, the investment of time and money will ultimately be the landlords. That property is his investment, not yours. If you make those same improvements to your own home, not only will you enjoy the benefits, you will also reap the monetary rewards for those investments.

There are additional tax benefits you will enjoy being a homeowner. You can deduct the interest portion of your mortgage payment as well as the real estate taxes you pay. If you are renting, your landlord more than likely has those costs included in your rent. You make the payment, he pays his mortgage payment and real estate taxes with your money. You can pay rent for years and have nothing to show for it, or you can pay your own mortgage and ultimately have a house paid in full. Which do you think is more beneficial to you?

So, are you ready to buy? Try to come up with as much cash as you can for a down payment. Another option may be a lease purchase. You find a property that the landlord is willing to sell at an agreed upon price. Your rent payments will be put towards your down payment. When you have enough invested in your down payment and qualify for a mortgage, you can then purchase the home.

A friend of mine recently asked me if I thought now was a good time to buy. He has been renting for years and is still hesitant to jump in the market. Here is the advice I gave him, “Now is one of the best times to make a home purchase, as long as you keep the following in mind. Find a place you know you can afford. Do your homework and make a budget. Also, when you find a property you’re interested in, find out what the property taxes are. Get an estimate of what the utility costs are on the property. Compare these costs to what you are paying now. If it’s close, go for it.”

I have been in this business long enough to see its’ ebbs and flows. It is definitely a buyer’s market. Interest rates are not going to be this low forever. Let me assist you in finding your next home.