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Pros and Cons of Buying a House
Pros and Cons of Buying a House
| Real Estate
By: Melanie , Posted On:2008-04-29
It is the dream of most people to own their own home and there is certainly much to be said for it. Owning your home gives your family a feeling of stability and enables you to put down roots. It means you can change your décor without asking the landlord and you can make improvements that fit in with your lifestyle such as adding a patio, swimming pool or carport. You gain a long-term asset that provides equity for your retirement. You also build a good credit history and can use your equity to finance other investments.
On the other hand, there is a downside to consider. Buying a home is a big investment of resources and cuts back your disposable income. Your interest rates may soar and you may have large maintenance bills if the house is damaged in any way. You also have to pay rates and land tax. If you need to relocate to a better or different job, then a house becomes an encumbrance. And if you cannot service the loan, your credit rating will drop.
You will need to weigh the pros and cons before making your decision. Renting might be the better choice, at least for a while until you become more settled and better off financially.
Need to find information on residential property? Visit the Saville Australia website (from : www.savilleaustralia.com.au) for more information on developing property development. |
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