These are the advantages of getting Mortgage loan to buy your home instead of renting from a landlord. This may be a challenging decision, but ultimately it may probably turn out to be the best choice you make on your journey.
Owning a home brings emotional attachment and a sense of stability that renting cannot provide. In this article we will be discussing the 5 advantage of getting mortgage to buy your own house instead of renting.
It is worth considering because it gives you a stronger connection to your own home and ensures a stable living situation, unlike renting.
Should I Buy a Mortgage House or Rent from Landlord?
Getting a Mortgage to buy your house instead of renting for the first time is a good idea, as this is preferable to paying rent without gaining ownership as the money you ought to spend on rent can be invested towards your mortgage.
Furthermore, if you invest in getting a mortgage, it prepares you toward owning your own home rather than simply benefiting a landlord.
There is an advantages of getting mortgage. once there is an approval, you will receive the fund and can acquire the property you desire. The payment period for the mortgage can range from 15 to 30 years, depending on factors such as the applicant’s age and other considerations.
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Advantages of Applying for Mortgage Loan to Buy Your House
Here are some benefits of taking mortgage to buy your house against renting:
1. Buying a Mortgage Home Increases Your Net worth
When you own a home, your net worth goes up, which is very important in Nigeria. Being a homeowner, also known as a “landlord,” earns you a lot of respect compared to someone who rents a place, regardless of the size of the property.
Owning a home means you have a valuable asset that is worth more than just a place to live. So, one of the big advantages of owning your home instead of renting is the increase in your net worth and the respect that comes with it.
2. An Opportunity to Earn Passive Incomes is an Advantages of Getting Mortgage
When you take out a mortgage, you’re committing to repay the loan over a long period of time. When making the decision to buy a house, you can allocate a small area within the property for a boy’s quarter, mini flat, or even a two-bedroom flat, depending on the property size and your preferences.
This additional space can be rented out, providing you with an extra source of income while you repay the mortgage. By setting the rent at a level that covers your monthly mortgage payment, you can ensure that the tenants’ rent fully covers your repayment obligation.
3. The House Cannot Be Sold off Without Your Consent
Renting an apartment in major Nigerian cities can often lead to experiences like this, where landlords sell properties without the tenants’ consent or increase rent without justification.
These challenges, prevalent in cities like Lagos, Ibadan, Abuja, Port Harcourt, and others, frequently result in disputes between tenants and landlords. However, choosing to get a mortgage and buy your own house can help you avoid such situations because you become the owner of the property.
4. You have full Ownership of Interior Design and Remodelling if your own your home
When you own your house, you have control over how your dining area and living room look and feel. You can choose the furniture, accessories, and other elements that match your personal style.
As the owner, you have the freedom to make any changes you want, like remodeling or painting the walls. You have much more flexibility in these aspects, which many people find appealing when they buy their own home.
In contrast to renting an apartment, where there may be restrictions and rules, owning your home gives you the freedom to make any modifications without anyone stopping you. You can transform and personalize your home according to your preferences whenever you like.
5. You Can Choose to Sell Off the Property if the Value Increases
When you purchase a property in a commercial area, there’s a good chance that its value will go up over time. As the owner, you have the choice to sell the house and use the money to pay off your loan.
Moreover, if you make a profit from the sale, you can use it to buy another property in a different location. This decision is completely yours and depends on what you want to achieve and your personal goals.
Helpful Guides:
- How Does In-House Financing Work in Mortgage?
- What Happens When Lenders Repossess Homes on Mortgage?
- Mortgage Payment Calculator – How to Calculate Your Loan Payments
- Advantages and Disadvantages of Joint Mortgage Loan for Family Home
- 10 Mortgage Terminology About Home Loan Financing and Banking Terms
