How to Stop Paying Rent forever and own a home of your own!
We hope this information will help you in buying the home of your dreams. Paying rent is like pouring money down the drain. There are many advantages of home ownership, and for many, it is the largest and smartest investment they will every make! Buying a home is the American dream. Home-ownership gives a feeling of pride that renting just can't provide. Other than all the feelings of pride and satisfaction that go with owning a home, there are many other advantages. Homeowners are given certain tax right off's and benefits not available to renters. The interest portion of your monthly payment is a tax deduction from your income that you have to pay taxes on. During the first few years of ownership over 90% of your monthly payment is interest. By lowering the amount of income you need to pay taxes on you pay less taxes.
A simple illustration for demonstration purposes only. Let’s say your gross income is $35,000 a year and you are paying $900 a month in rent. Let’s compare that with making a monthly house payment of $1,000 a month. If 90% of the monthly payment is interest that adds up to a monthly tax credit of $900 or an annual tax adjustment of $10,800. Depending on your tax bracket this can add up to an annual savings of $2,500 and as much as $5,000 in taxes you no longer would paying. By making this tax savings adjustment of a $1,000 per month mortgage payment and deducting the tax savings of $200 to $400 PER MONTH your effective monthly payment is between $600 to $800 per month, lower than paying rent. In home ownership you have other important factors now working for you. Items like appreciation over a long period of time and the roots within a community that are established with home ownership. The example presented on this recording is not intended to replace advise from your taxation specialist nor is it meant to give taxation advice. Many first time buyers tell us they hesitated buying a home simply because they did not understand the many aspects and benefits of home buying and they didn't know who to ask. We will take time to show you the home buying process. With many opportunities to purchase a home, owning may be easier than you think.
The loan professional that has made this information available to you specializes in assisting individuals in the transition from renter to home owner. Your loan professionals in most cases can advice you on the best approach and help you get the home of your dreams!
For more information, contact Gary Flanzer at
1-866-449-7263
