Buying a home is a huge deal. First-time buyers transform from renters to owners in a single transaction, a change that has far-reaching implications about how you see yourself.
Now, as the owner, all these things are yours to manage. When you live in the property that you own, you are your own landlord. You’re the property manager in charge of repairs. The buck stops with you!
Don’t let all that responsibility deter you, though. It is that very sense of duty that creates pride of ownership. While your home doesn’t define you, it does represent you in the neighborhood and to your community. And with the responsibility come all the rights of ownership as well.
Every payment you make toward your mortgage principle adds value—equity—to your home. Each time you maintain your home and yard, you’re helping it retain that equity. As a renter, your payment went to the owner’s equity. So, if you make improvements to your home, and continue to pay toward the principle, that equity accrues to you.
Equity increases when the community or neighborhood becomes more desirable so that the fair-market value goes up. Increases due to economic growth and demand add up to more value for you … instead of an increase in your rent payment that goes to a landlord.
Because you appreciate your property, it appreciates in value.
If you've never owned a home and would like to explore the possibility, start by contacting a real estate agent and get the conversation started.