Renting may be the easy choice for you right now, but is it right for your future? If you’re considering buying your own home, it is a great idea to identify the benefits to see how buying or renting could affect you and your current lifestyle.
The Benefits of Renting:
Flexibility. If you are planning on moving in less than six years, renting may be the preferred option for you. Renting allows you to quickly pick up and move, without much hassle.
Little or No Maintenance. By renting, you are able to rely on your landlord or property manager to pay for and make the necessary home repairs. However, if your landlord is less than responsive or reliable, you may have to wait an extended period of time to see completed repairs.
Utilities May Be Covered. In some cases, your utility expenses may be covered in your monthly rent payments.
The Benefits of Buying:
Tax Savings. Your mortgage loan interest is deducted from your state and federal income taxes and a portion of your property taxes may also be deducted. This can add up to some serious savings for you!
Stability. Your fixed mortgage payments (principal and interest) will not change during the loan term, whereas a rent payment could potentially increase annually to compete with your area’s growing rental prices.
Build Equity. Owning your own home long term allows your equity to build and thus your home investment to grow. If renting, you are allowing your landlords equity to build, simply by paying your rent!
Freedom. One of the biggest benefits to homeownership is the freedom. Say goodbye to noisy, upstairs neighbors, crowded apartment complex parking lots, and overbearing rules and restrictions. Owning your own home gives you complete freedom to create and cultivate your own space for you and your family. You can customize your home to fit your own tastes and preferences, rather than a landlord’s. You can plant and grow your own garden or have the garage workshop you have always wanted. The choices are endless!