Once you get your career going, you may begin to think about settling down; maybe you are looking for a place to live. One of the biggest questions is whether you should rent or buy your home.
For many, buying is one of life’s biggest aspirations. But for others, buying property doesn’t really have a place in their life. It can be difficult choice, and one that’s going to have a big impact on your bank-balance. There are pros and cons to both buying and renting.
Buying a home has been traditionally been the goal for many people. Once you’ve paid off your mortgage or mortgages, your home is your own. A home also represents a large chunk of your credit security.
Fundamentally, this is how many look at it: monthly mortgage payments may be a headache when times are tough, and it may be increasingly difficult to get one but at the end of the day you’re paying into something that you’ll eventually own outright.
The same cannot be said for renting, and this is the main criticism. However, there are many benefits to renting.
Firstly, you’ll need a much smaller initial down payment to secure an apartment. Provided you treat the property right, you’ll receive your deposit back in full at the end of your lease.
Secondly, you have flexibility and freedom. You can choose to move– in a completely different region –more quickly and easily than you would be able to if you owned a home.
Thirdly, the upkeep of any rented property is the responsibility of the landlord. Homeowners will have to pay for home repairs and ensure they have insurance coverage.