buying a home

Which makes sense for you: renting or buying a home?

buying a home

A house is not something that you change every day, it doesn’t matter whether it is a rental one or your own house, it is a long term affair and hence needs to be a well thought out decision. It becomes a prominent question when you are trying to decide whether to rent a house or buy one. And the question though very critical is something that everyone faces at some point or the other.

Now we can make a case for both the sides but the ultimate decision after weighing all the pros and cons has to be yours and therefore it is important that you pay keen attention to all the aspects.

What We Need To Know For Renting a House

When you rent a place the first benefit that you acquire is the flexibility. When you rent, you can easily check out the neighborhood regarding the facilities available and safety level for future reference when you do decide to buy a house permanently somewhere. Now not all of us have a job that is permanent or that does not involve a lot traveling or relocating again and again. So for those of us who do not have a stable job or whose job demands relocation every few months it is always better to stick to rentals at least until you have a permanent job.

Well, it is common knowledge that when you rent a house all you are required to pay is the first and last month’s worth of rent along with a deposit. But when you buy a house permanently the stake goes higher and so does the money that you have to put in. Therefore, if you do not have considerable savings to make a down payment for a house it would be better to stay at a rented house.

Bad Credit Score & Renting

For those who are having a bad credit score renting apartments and making the payments on time, can help them a great deal in improving their overall credit score. Now when you have an improved credit history you can pitch for better mortgage loans and benefit from them. A house though a dream for many also has certain tiring chores associated with it like looking out for problems as water or sewage, etc. Renting an apartment will free you from that since you can report whatever problem you have to the landlord, and then it’s his responsibility from thereon.

How Does Buying a House Help in the Long Run?

The first thing that pops up is the equity. Equity is the difference between the amount you still owe in the mortgage and the price that your property has in the market, now since you are paying your loan slowly it is getting lesser and lesser and in relation to it your equity is increasing. It can be possible for you to minus the property taxes from your income tax; you would need to get Intel on this specific to your job. The best and most fun part about owning a house is that you can do whatever you want! When you rent a house you do not get too much freedom in terms of decoration and color choices, but all of the restrictions goes out of the window when you buy your own house. When it is your own house, maintaining it is your responsibility and how you do it is your call as well. You can call a contractor for all you want.

Therefore, whatever it is for you, buying or renting, it should have sounds reasons to it that is all that matters.

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