Guest Post by Stevie Clapton:
Message from Victoria- I’m always interested in people’s perspective on whether to rent or buy a home. Everyone has their ideas on what makes sense financially. Stevie does a great job of giving us the advantages and disadvantages of each. Read on and decide for yourself what’s in the best interest of you, your family, and your finances.
Deciding whether you should rent or buy is not always an easy decision. There are numerous benefits to either option, but for the majority of people, one side usually outweighs the other. Below, you will find a comprehensive analysis on both buying and renting. This should help you come to terms with the advantages of both, so that you can decide what’s best for you and your family.
Buying allows you to resell and make your investment back
The most prominent advantage to buying a home, rather than renting, is that you can sell the property one day to make your investment back. When you rent, your monthly payments are going toward paying someone else’s mortgage, not your own. Buying definitely has its advantages in terms of finances. Not to mention, rent prices are rather high because of the recent economic decline in real estate. At the moment, people are scared to buy and that means a lot of people are going back to renting. For landlords, this is good news because when demand goes up, prices do too. Buying allows you to pay your mortgage slowly but surely. When it comes time to move, you can sell and potentially even make profit. If real estate has gone up or you renovated the property to make it more desirable for a potential buyer, there’s a good chance you will actually make money off your home, rather than just breaking even.
Buying allows you to customize and renovate the home
Another advantage to buying your own home is that you can make changes to it. The property is completely yours and that means you can tear down walls to create an open floor plan, paint the house to a color you will enjoy, or install a new roof to ensure your family is well sheltered. The possibilities are endless when you own a home and it’s something that is difficult to pass up. When you’re renting, you are often restricted to what the landlord will allow. This can really hold you back and it doesn’t allow you to express your creativity. Not to mention, having the ability to renovate a property that you own means that you can increase its value and raise capital toward buying a nicer place.
Renting is hassle free and less worry
A significant advantage to renting is that its hassle free. Owning a home can be a lot of responsibility. Getting tied down to a mortgage may not be something you’re looking for. If you like the idea of renting instead of buying because it’s less worry, then you’re probably at a point in your life where renting would be the better choice. Often times, young homeowners get in over their head and commit to a mortgage that they just can’t afford. It’s important to protect your financial stability and not let this happen to you. Be sure to review your finances and be well aware of your capabilities before you sign the papers on a mortgage. Don’t be afraid to rent if you feel like it would be safer for you.
Renting allows you to leave without having to sell
A lot of renters appreciate the fact that they can leave the property without having to sell. When you own a home, you can’t relocate unless you sell your current home. Unfortunately, selling a home is not an easy thing to do, especially with the current condition of the real estate market. If you’d like to be able to pick up and leave without having to worry about selling, then renting is a much better option for you.
Author Bio: This article was written by Stevie Clapton of Obares a website that offers information about quick loans and other finance issues.