We make the important decision of buying a home at some point of time, and it is a dream for lot of people. When we are not able to buy one we may live in rented home. Before owning a home we usually consider so many matters about the need of a home, financial requirements, and features of the home. Any financial commitment including that of the home purchase may affect the future living pattern and financial position.
We discuss some of the benefits of own home
- Own home gives us a comfortable space for living with more privacy. Home is a private place and we may not like the unwanted interference of others in our privacy, home gives protection from such things.
- An own home improve the value in our society and it provide a safe place for future generations.
- Even if we take loan for our home the amount of repayment is fixed, so we could asses the financial position and became more stable.
- The interest on home loan and tax is exempted for tax payment.
- The own home gives a kind of self appreciation and pride, so we could involve with more confidence in our daily life.
- We could own a home with almost same or a little more money than rent when go for home loan.
There are some disadvantages also for a own home
- Own home gives the burden of expenditure for loan, maintenance, repairing and interiors. Most of these expenses are recurring and need a long commitment.
- When we own a home we make relationships with the society, so we may not easily move from that location to another.
- Sometimes loan repayment may be higher than the rent rate and it cause financial strain.
- We have to find the margin money and registration fees while owning a home.
- Due to some unforeseen matters the value of the home may decrease and become dead investment for us.