Home ownership has long been touted the single most effective way to create wealth in America. Given the current state of the housing market, however, it’s easy to doubt this. Yet, much like any market, it’s important to remember that the housing market fluctuates.

In fact, if you look at the housing market over long periods of time you’ll see it offers a steady return. Home ownership over the past 25 years has yielded a higher rate of return than most other types of investments, including stocks. Yet within the past two decades, housing prices for condos and other single-family dwellings have risen and fallen at different rates all over the country. This can be interpreted to mean that anybody who wishes to be a home owner must also be able to stomach both the good times and bad. If you think you’re up for that, consider these additional advantages of owning a house or condo:

1. The opportunity to build wealth. After you’ve paid on a mortgage for a while, you will gradually begin to accrue equity in your home. Your mortgage balance will decrease and the amount of wealth you can claim will increase. As a bonus, you can build equity even if the value of your home does not increase.
2. Freedom in design. One of the major advantages of owning a house or condo is the ability to redecorate and remodel as you see fit. Most rental agreements do not allow for renters to change the structure of a house or to paint walls and change fixtures. As a home owner, you have the freedom to paint walls, build walls, knock down walls, or make any other permanent change to your house.
3. Definite tax advantages. As a home owner, you have the opportunity to deduct the interest you pay on your mortgage from your annual taxes. Depending on your mortgage interest rate, this can add up to several hundred – or even thousand – dollars in savings.
4. Control over your lifestyle. As a renter, you may only reside in a location as long as your lease states. After that, you are bound by the wishes of your landlord. If he or she allows you to renew the lease, you’re fine. If he or she wants you to move on, you don’t have a choice. In contrast, owning your own home means you decide when you leave. You have full control over your lifestyle and needn’t pay attention to the whims of anyone else.
5. The possibility of upward mobility. Home ownership has historically been one of the single most effective ways for individuals to transition from the lower socioeconomic brackets to the middle ranges, or from the middle ranges to the higher classes.
6. Greater stability. If you own your home, chances are good you will have the same neighbors for many years. It will also be easier to keep your children in the same schools over time. As a renter, you’re more likely to see neighbors come and go (particularly if they too are renting). Renters also find that having to move more frequently makes it difficult to reside within the same neighborhoods or school districts.
7. Access to cash. As you build equity in your home, you will find that you have easier and greater access to loans. Home equity loans can be particularly beneficial as they allow individuals to take out low-interest loans with tax-deductible interest payments. If you know you’re going to need cash for any large purchases in the future, using your home as leverage can be an extremely handy financial tool.

There are many other advantages of owning a house or condo, but the most important factor is your own individual situation. Carefully consider your personal preferences and needs before traveling down the path to home ownership. Going about owning a home the wrong way can land you in a distressed mortgage situation, similar to the ones people are currently facing throughout the country. Going about owning a home in the right way can lead to a very satisfying and profitable investment.