People Don’t Buy Homes for Tax Deductions
A lot is being made of the Tax Cuts and Jobs Act (TCJA) passed at the end of 2017. While there are big changes and plenty that benefit people, there are also eliminations and changes, for example, to the mortgage interest deduction. Economists and even some real estate professionals decry it as the end of an era. That no one will ever want to buy a home again.
If you’re someone who buys property for the tax deduction that may make sense, but that’s not why most people buy a home.
A Place to Call Your Own
It doesn’t matter whether you’re a first-time homebuyer in a starter home or you’re buying your third home in a high-end neighborhood. Many people buy because what they want, most of all is a place to call their own. No more landlords telling you what you can do. No more management companies raising your rent every year.
In your own home, you can decorate it the way you want. You can remodel, upgrade, and change things as your budget allows. In small and big ways, you put your personal stamp on the house you buy, turning it into a home.
A Sense of Pride and Accomplishment
In every stage of life, buying a home requires money, patience, a steady income, and a willingness to leave the comfort of what you know (that apartment, your current neighborhood, a state or city) and give your family something better. A new home represents a better job, more income, and a new place in life.
Everyone, from the buyer in the 900 square foot house to the owner of the 3000 square foot luxury home, feels that same sense of pride and accomplishment when they pull in the driveway and look around. When you own a home, you recognize that your hard work has paid off in a big way.
A Safe Place to Raise a Family
The world is a scary place, and no matter who you are, you want it to be safer for your kids. The one place you should be able to count on is your home. Buying a home lets you buy your own safe place to live. You can choose the neighborhood and the location. You have the freedom to make it more secure for your family.
Safety and security are major drivers in stress and happiness. When someone buys a home, what they’re really buying is a piece of their own happiness. It’s the one place you can count on to be your safe corner in the world.
Yes, tax deductions matter. No one wants to pay too much to the IRS. But when someone decides they’re ready to buy a new house, they’re buying more than a building to live in. It’s so much more than a line item on their taxes. Their home means more than the few dollars they save on a tax bill.
When you’re ready to buy a new home, work with someone who understands that you’re buying more than four walls and a roof. You need a Realtor® who understands the true value of homeownership which is something that can’t be found in a tax deduction.
Looking to buy or sell? Let’s talk!