At first glance, owning your home appears to be the logical and financially responsible choice. As you will see in the table below there are many financial benefits to owning, but that doesn’t mean it is for everyone. I know people who move to a different city every couple of years and in those instances buying may be a little risky. Buying your home is a big commitment and a lot of thought and research should be put into this decision. I explored some of the questions to ask in “Are you Ready to buy?”


  • When you make home improvements, you are usually increasing the value of your home.
  • Whether you have a 15 year or 30 year loan, there will eventually be an end to your monthly payments.
  • On average your home’s value will increase 3% per year. Recent years on Maui have proven to be higher than 3%, which shows that Maui is a great place for investment properties.
  • Interest on home loans is tax deductible.
  • There are many different loan programs available that allow great flexibility and that address your current financial situation. When talking to your lender, you are sure to find a loan to best fit your family’s needs.
  • With most home loans, you pay the same amount per month for the entire term of your loan. As the cost of living increases, the only thing about your home that increases is your equity.
  • If you decide to sell after living in your home at least two years, all the equity gained is yours to keep…usually tax free!


  • When you make home improvements, you are increasing the value of someone else’s property.
  • There will never be an end to your rent payments.
  • When renting, there is no equity to be gained.
  • There are no tax deductions when renting.
  • When renting, there is no flexibility in your monthly rent payments.
  • When your lease is up your landlord has the right to increase your rent or ask you to move.
  • When renting, you have gained no equity. You have made no profit.

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