Should I keep on renting or is it better to buy my own house? This question may seem simple enough, but many people find it hard to answer.
For the longest time, we assume that as long as you’re earning a good amount of cash monthly and you got enough savings in your bank account, then yes, you should go ahead and buy a house. However, making the decision is much more complicated than that. Different individuals have different needs, situation, and preferences. Nowadays, your lifestyle should be taken into consideration, not just your finances and preferences.
According to the New York Post, millennials think they simply can’t afford a mortgage. This is because of many factors – student debts being one of them. When you have significant debts to pay, it can take a toll on your finances and can stop you from achieving homeownership. Thankfully, home loans are now made even more accessible and affordable. But the question remains. Should you go ahead and buy a house, or continue renting a home?
To help you decide, it pays to learn about the perks of renting versus buying your own home.
Advantages Of Renting
Moving Is Not A Problem.
For individuals who like to move a lot, or has jobs that require them to always be on the go, then renting is a better option. As long as you’re not tied up on a rental contract, moving will always be a breeze.
Renting Is Cheaper.
When renting, you usually won’t need a significant amount of cash for a down payment. Repair and maintenance won’t also be your problem. All you need to worry about is your monthly rent, utility, and other personal finances.
Poor Credit Score And History Is Not A Big Concern.
While there are landlords who will do a credit check to make sure you can pay your rent, it is not as vigorous as when applying for a mortgage.
Advantages Of Buying A House
Build Equity Over The Years
More often than not, real estate value appreciates over time. When you buy a house with the help of a mortgage, you get to build equity as you pay off the loan. Whether you applied for Conventional Loans, FHA Loans Fort Worth or VA loans, you’ll surely benefit from your investment as the years pass by.
Get As Much Privacy And Freedom As You Want And Need
Buying a house gives you freedom over your property. You can decorate as much you want and get the flexibility that you can’t enjoy when renting.
Buy A House With The Help Of Mortgage Financing
Mortgages are even more affordable, making it easier to achieve homeownership. You get to own your home and only pay what you can afford by choosing the best mortgage for your situation.
You Can Make Money Out Of Your Home
You have the power to choose how you wish to use your home. You can reside on it, turn it into an investment property to generate income or even sell it if you want.
Take Advantage Of Tax Benefits
Homeowners get to enjoy some tax benefits – an advantage of renting out can’t offer. You can deduct property taxes and other tax breaks depending on your situation.
Good Read: What Are the Tax Benefits of Buying a House?
By learning the perks you can get out of renting versus buying a house, you’ll get a better idea on which option is the best for you and your family.