In a recent company newsletter of Wells Fargo, there was a feature by David Bach, financial coach and #1 bestselling author, giving seven reasons to buy in today’s market despite news reports of a slump. According to Bach, the main reasons why you should ignore what the news is telling you and purchase a home anyway is:

1. Homeownership is a solid long-term investment. While up front this may seem like a huge financial burden and responsibility, being a homeowner provides you with a new level of financial well-being that renting does not. As Bach says, “It’s probably the smartest investment you will ever make during your lifetime.” This is because, historically speaking, the housing market has been making consistent gains since the ’50s.
2. The IRS gives big advantages to homeowners. Owning a home can be a huge write-off when it comes to tax time. Start receiving more money in April by deducting mortgage interest rates, property tax and more.
3. Generally speaking, home values are still rising. Even though 3.2% rise in home prices in 2007 is almost half of the 6.0% annual average of appreciation, the prices of homes are still increasing. You will be able to sell your home for more than you paid for it, no problem.

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