TO OWN OR RENT

1) Inflation can affect your rent payment. With a fixed rate mortgage payment, inflation should not adversely affect you.

2) Over a period of time you can build equity in your home, allowing you to purchase a more expensive home or use the money for other things such as renovations and additions.

3) Usually the interest is tax deductible so you can reduce your income taxes.

4) Your home payment also shows stability when a history check is done.

5) Take advantage of any federal programs for first time buyers. Consider your 401k. There are exceptions to penalties for home purchases.

6) Your mortgage should be approximately 28% of your monthly income.

7) In addition to a down payment for a home purchase, there will also be closing costs. Ask your realtor to explain these to you. Usually they are any where from 2% to 5% of the total purchase price.