Home: Everyone’s dream for life

As we grow older, the value of a home increases both from an economic and emotional standpoint. The wish to own a home is one of the greatest dreams in one’s life. Ability to buy a home gives the feelings of euphoria. Undoubtedly, home investment provides many financial and personal advantages.

Long term investments

Real Estate is a relatively stable long-term investment option as it is steady in demand. It remains relatively unaffected in volatile movements of stock market and recession. Unlike any other investment opportunities, real estate equity never decreases. In fact, its value always grows constantly. Buying home has advantage over living in rent. When one is buying home, he is not throwing all his money on rent. He is putting his hard earned money in something which is likely to give huge ROI in times to come.

Feeling of Accomplishment

When you are into the new home of your own you get a sense of belonging-ness. Everything in the house gives you a sense of ownership. It is the result of all the hard work that you have done in your life. It gives immense satisfaction from inside. You fall in love with everything you own, a sense of security and the peace of mind.

Freedom of living in your own castle

You are no longer bound by the rules made by landlord. We can renovate the rooms as we like. We can design our interiors the way we want. It’s the complete freedom to live as we wish. Freedom of living in one’s own home, the way he or she likes, is a major goal in everybody’s life.

Strong foundation in life

When you have finally bought your own home, you are strongly anchored to your life. You have the permanent address which will be used for documentation purpose. Don’t need to worry about changing children’s school. Living in the same community, children will have strong friendship bonds and is better for a stronger future.

Tax Benefits

Home investment gives us tax benefits. One is entitled to claim benefit of interest as well as principal amount that he pays on a home loan, taken to buy his own home. As a first time home buyer, one is likely to get a deduction of Rs.50,000 of the interest for the home loan which is up to Rs. 35 lakhs in general.

Your flat increases its equity over the time

Equity is the value that comes from deducting the amount of your home that you still owe from the amount at which you want to sell. So, when prices of home property increases every year in terms of square feet rate, the equity of your home increases. Also, with every EMI, the burden of the home loan decreases. The more the repayment you can do, the faster the equity of your home would increase. Some banks give the option of fortnightly payment of EMI. 26 EMI payments in a year increase your home equity even faster. Another method is by shortening the home loan term completely.