You are probably one of those people who think that owning a home is the ultimate dream. Owning a house and lot with a picket fence is your motivation for working so hard and your goal is to invest all your savings to buy your dream house.
If you feel unsure about owning a new home, you should consider renting.
Renting a home can be a better option if you want a flexible lifestyle with less responsibility.
With all the expensive houses available in the market that could possibly drown you in debt, renting a house is one way to get yourself your dream space without getting tied up for the long haul.
Here are 7 other reasons why renting is a great option for you:
Save yourself from major repair expenses
It’s crazy expensive owning a new home that sometimes it will make you borrow cash loans from banks or reputable licensed moneylenders. When your sink is broken, you can’t even wash the dishes. The next day, your toilet clogged, you had to call a plumber. And because of the rainy season, the issues with your roof and gutters have surfaced. When you are renting, just call your landlord and they can have it repaired without you shouldering the cost. And by doing that, you are not responsible for the house repairs.
You don’t have to worry about homeowners association fees
When you own a home, you are required to pay a monthly or yearly homeowners association fee whether you live in a neighborhood or a condominium unit. This money is for the maintenance of the amenities and additional repairs in your neighborhood. This could put a dent on your budget, but if you are renting you don’t have to worry about that.
No costly property tax
Owning a home means paying for a yearly property tax. And this is one of the issues of a homeowner. These payments can be expensive so you have to think about owning a home first. If you think that the yearly property task can be quite a burden to you, consider renting a home.
Freedom to move to a new place
What if you get an exciting opportunity to work in a different city or country? If you are a homeowner, you can’t just leave your house in an instant. You have to sell it or rent it out. But if you are renting, you can just leave the house and explore a different city without worrying about who is going to look after your property.
Live a mortgage-free life
Owning a home sounds like a wise investment but you might find yourself in the sea of debt. Securing a financing loan for your home could be a problem if you do not have the money to pay for it in the long run. Sometimes, the result is that you pay more because of the possibility that interest payments can add up and only a little bit goes to paying the principal. But if you rent a home, your mind is free from worries. You just have to pay for the monthly rent and go on with your life.
You don’t lose money when the value of your home depreciates
Like most investors, you, as the homeowner, are looking forward to seeing your money grow when you invest in a home. And for sure that you want to get a higher value of money when the time comes that you decide to sell your home. But there are a lot of factors that you can’t control that can depreciate in value such as the rate of unemployment in the city, traffic and crime rate. You might have a different set of problems when you rent a home, but you don’t have to worry about a depreciating investment.
Your hard-earned money is not tied up
As the saying goes, “don’t put your eggs in one basket.” You might think that once the need arises, you will be able to sell your home. But in reality, a house is not a liquid asset. When the time comes that you need the money, it will take a few months before your house can be listed on the market. But if you are a renter with ample amount of savings, you can use that money as soon as you please, especially if it is an emergency.
In summary
With all the jacked-up home prices, you might need to step back a little bit and think more than twice if owning a home is the best decision for you. It will be wise to think about your financial situation and your future plans and analyze if renting or owning a home will fit the lifestyle you wish to live.
It is a popular opinion than renting is just a “waste of money” but there are actually good benefits in renting a home. But whatever decision you will have in the end, it is important to think it over before investing your hard-earned money.
