Should You Buy or Rent a Home?
Remember when hands-down the best decision in choosing to buy or rent a home was almost always the former? Nowadays, it’s not just the housing crisis that confuses the issue – it’s the myriad choices we’re afforded and that there’s no mad rush or social convention to settle down in one place. Should I stay or should I go becomes a mantra for the ages. So where is the moving company going to bring you – to your own home or a rental?
Reasons Why You Should Buy Your Home
It’s Your Home
When you buy your own home, you can decorate it any way you want, add on rooms, install new appliances and even completely renovate your house without a landlord’s permission. You’re satisfied to say you own your home. If you want to welcome a pet, you don’t have to abide by someone else’s pet ownership rules. There’s also space for your belongings and no restrictions on what you can store. If you need more room, you can always opt for storage.
Each mortgage payment and investment you make regarding your property goes toward the greater good of your portfolio and someday owning the place outright.
Less Money to Buy
According to US News, buying a house is still cheaper than renting one, so tell the movers it’s time. Before you do that, though, calculate what type of home you personally can afford, so you have money to spare and know what to save.
After you’ve sowed your wild oats and maybe started a family, you’re going to feel more comfortable establishing roots in one area and household. Staying put isn’t confining if it’s in a neighborhood that jives with your lifestyle, whether it’s a city or suburb, and you’ll enjoy becoming part of a community, says Money Crashers. Joining activities and organizations where you live fosters lifelong friendships, helping to build your resume and your self-worth.
You’ve Got the Money
For all the money you’ve earned, why don’t you get something to show for it that will last? If you can easily afford a down payment, taxes, furniture and unexpected repairs, it’s well worth it. Money Crashers points out the multiple tax benefits are reaped as a homeowner, too, making your financial portfolio that much fatter.
Reasons Why You Should Rent Your Home
If you know for a fact that you’re going to call the moving company sooner rather than later, it’s best to rent your home. Or if long distance moving brought you here, you may want to test out the neighborhood first before buying a home.
Credit is a big factor in applying and getting a mortgage, so improve your credit first before making things permanent.
Not Enough Money
There are lots of expenses associated with buying and maintaining a home, so if you really don’t think you can swing the costs, try renting one.
Not Your Problem
One plus about renting is that you don’t have to worry about updating or repairing appliances or worrying about that tree that fell on the sidewalk. Many times your utilities are figured into your rent, so your landlord is responsible for that, too.
Not Ready to Settle Down
Maybe you want to travel the world and relocate whenever the opportunity arises. Then buying a house probably isn’t wise. It also isn’t wise if your job is unstable or your life is in flux.