The Essential Benefits of Homeownership

Owning a home offers a wide range of benefits, some obvious, others more subtle. While many people are familiar with the idea of building equity, homeownership also brings lesser-known financial perks, such as potential tax advantages¹. Beyond finances, owning a home can provide long-term stability for families and help build generational wealth. At Stifel Bank & Trust, we’re here to help you explore how these benefits can shape your homebuying decisions.

Building Equity and Long-Term Value

One of the most powerful financial benefits of homeownership is the ability to build equity over time. As you pay down your mortgage, your ownership stake in the property increases. This equity can be leveraged for future investments, used to secure loans, or realized as profit when you sell.

Unlike stocks or other volatile investments, home equity tends to grow steadily—especially when the property is well-maintained. Setting aside savings for upkeep and repairs not only protects your investment but can also enhance your home’s value over time.

Tax Advantages

Homeowners may also benefit from tax deductions. While there are limits, mortgage interest and property tax payments can often be deducted from your taxable income. Additionally, when selling a primary residence, individuals may be able to exclude up to $250,000 (or $500,000 for married couples) of capital gains from their taxable income¹ another potential financial advantage.

Stability and Control

Renters often face unpredictable rent hikes or changes in property ownership that can force sudden moves. Homeownership offers more control. With a fixed-rate mortgage, your monthly payments remain stable, and you’re no longer subject to a landlord’s decisions. You call the shots—whether it’s remodeling the kitchen or planting a garden.

Generational Wealth

A home is more than a place to live, it’s an asset that can be passed down to future generations. Whether your heirs choose to live in the home, sell it, or use it as an investment, the value you’ve built can provide a strong financial foundation. Think of it like a snowball rolling downhill, each generation has the opportunity to build on the momentum of the last.

Community and Belonging

Perhaps the most meaningful benefit of homeownership is the sense of community and stability it brings. For families with children, staying in one place allows kids to form lasting friendships and grow up in a familiar environment. Homeowners are also more likely to engage with their neighbors, fostering deeper connections and a stronger sense of belonging.

Ready to Take the Next Step?

Whether you’re actively house hunting or just beginning to plan, understanding the full range of homeownership benefits can help you make informed decisions. The more you know, the more confident you’ll feel on your journey.

To learn more about the homebuying process, visit https://stifelbank.banzai.org/wellness for educational resources or contact Stefanie Mitchell at mitchellst@stifelbank.com or (314) 317-1235.

Get started here: www.StifelMortgage.com or call (314) 317-6900 for additional information. Stifel Bank & Trust, NLMS #375103

Please contact your Stifel Bank & Trust Lender for loan program details. This information is provided for informational purposes only and is not intended to extend consumer credit as defined by section 1026.2 of Regulation “Z.” Interest rate, program terms, and conditions are subject to change without notice. 

Stifel Bank & Trust offers mortgage services to clients of Stifel and current and prospective homeowners in the St. Louis Metro Area of Missouri and Illinois.

¹ Neither Stifel Bank & Trust nor affiliated companies provide legal or tax advice.