While some people will simply tell you that renting is better, others say that purchasing a home is absolutely the better option. Which is best for you? Only you can decide, but here are some points to consider that could help you toward that decision.
Money – This is the major consideration for many people though there are two distinct ways to look at it. If you want to own your home, you’re going to have to save for a down payment and then commit to monthly payments that will likely include insurance, property taxes and other costs that you never consider when you’re renting. On the other hand, there’s also the potential for return when you own that isn’t there for a renter. If you pay on a home mortgage for 10 years and then decide to move, you have 10 years worth of equity built up in that house. After 10 years of renting, you are no closer to ownership than the day you moved in.
The “to do list” – One thing homeowners quickly learn is that there’s a constant “to do list” associated with owning a home. Even for a home in excellent condition, there are routine maintenance chores that keep the home in good condition. For an older home, the list is going to be much longer. That’s one positive point of renting because these problems and potential problems are not your responsibility. When a pipe is leaking or the house needs painting, you simply make a call to the landlord and your part of the job is done. On the other hand, many people find an incredible sense of pride and accomplishment in doing those chores around the house.
Make it your own – If you’re renting a home, you’re living in a house that will never be completely your own. You may make some minor modifications, but major changes often aren’t allowed. Even if your landlord will let you make those changes, it typically feels like a waste of time and money since you’ll someday move away. There’s pride in ownership and it’s often a huge step toward security if you own your home. Want purple walls, track lighting in the kitchen and marble on the floors? If you own your home, you’re only limited by budget and any applicable building codes.
There are some additional things that play a role in your decision to rent or buy. If it’s time for home ownership, take a few minutes to fill out our easy online loan application.