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 Here are a few of the factors to consider before becoming a homeowner:  

Long Term Investment - Buying a home is a long-term investment on your part. Generally, your monthly mortgage payments will remain the same as your property value goes up. Homes typically appreciate an average of 5% a year. Of course, this number can vary significantly depending on the region, the neighborhood, etc. Still, every monthly payment brings you a little bit closer to owning your very own home in full. Keep in mind that the initial mortgage payments pay mostly for the interest on the loan, while subsequent payments pay a greater part of the principle.

Tax Benefits - Homeowners are entitled to a number of tax benefits. As a homeowner, the IRS allows you to deduct all mortgage interest, providing you with a significant reduction on your annual tax bill. Furthermore, you may use your home equity to procure interest-deductible loans for home improvements, to finance a college education, or if you plan on retiring or purchasing a new home. If you decide to sell your home, you may even qualify for a capital gains tax exemption, which means you might not have to pay taxes on the sale.

Stable Monthly Housing Costs - Buying a home also affords you the comfort of stable monthly housing costs. While rents are often unpredictable and erratic, your mortgage is not. Particularly with a fixed rate mortgage, you are guaranteed one monthly amount for fifteen to thirty years. When you consider how costly rents will probably be in thirty years, the choice seems obvious!