Renting vs. Buying

Are you a renter or a homeowner?

Obviously, there are pros and cons to both sides. Maybe you are a renter trying to decide if now is the time you should transition to buying. Maybe you are a homeowner thinking of downsizing or want less responsibility. Have you considered all that comes with each area?

Renting is usually where most people start in their first home because it is a more affordable way to be in your own place. You usually have to come up with a security deposit and a month or two of rent to start and then pay a monthly amount to the owner of the building in exchange for a home, apartment, townhouse and sometimes just a room. Some additional benefits of renting are flexibility if you aren’t planning to stay somewhere that long and no maintenance costs, all issues are handled by the landlord.

But renting does have some cons, you aren’t building your equity as you do with homeownership. Your landlord can increase your rent or decide to sell the property. You may have excessive moving costs due to having to relocate more frequently.

One major benefit of homeownership is having equity, you physically own the house so you have something of value in your name that could bring you a potential return. Another benefit of owning a home is that you can make any changes you want to the property or home, within local zoning laws of course. You also have stability in owning a home and decide when it is time to move.

Some disadvantages to owning a home are that you are responsible for all the maintenance and upkeep, which at times can be expensive and time-consuming. Financially homeownership can be costly, down payments and closing costs add up quickly.

There is no right or wrong here it all depends on your situation and needs. I hope this helped you weigh your choices and you know how to reach me if you have any questions.