Buying a house or property is very costly yet advantageous. While most people may desire to own homes, their financial muscles may not allow them to do so. Therefore, most people turn to rent as a cheaper and most convenient means. Property owners also turn to rent out their homes or property as a way of earning money every month.
However, there is more to being a landlord than collecting the rent. Being a landlord means that you first have to get the right people to rent out to. Yeebia and their post free ad have made it easy for both renters and renters to find the best landlords and rentees, respectively. In this post, we discuss the advantages of renting over homeownership.
- Cost
Contrary to common knowledge, the cost of homeownership is way higher than that of renting. Most people assume that the expensive bit of owning a home is the payment made to the seller or real estate agent. However, owning a home means that you are responsible for all the bills, the rates, and taxes from the government, interest payments from the purchase and maintenance, to name a few expenses.
While most people consider renting as a waste of money since you won’t be getting any of the money back, if you are not financially stable, renting beats taking out a loan to buy a house that will leave you broke for a long time. Keep in mind that all these payments on a home do not help you build equity; hence they are just an added stress and financial constraint. Thus, renting means that such expenses as taxes and rates, as well as maintenance, are the work of the landlord.
When you think in terms of long terms costs, renting may also cost less than owning a house over the long run. This means that with leasing, you do not have to worry about such things as insurance, HOA fees, rates, property taxes, utilities, and other expenses that come with homeownership. This, however, does not make irrelevant the many advantages of becoming a homeowner.
- Ease of relocating
You do not want to spend money on a house that you do not want to live in for a long time. While this may make sense to persons whose aim of buying the property is to use it as an investment and rent it out, it is the wrong move for one who wants to make a home of the house. As a renter, it is easier to relocate for whatever reason because you do not have many responsibilities over the house.
Bottom Line
There are renting means that you pay less upfront as compared to owning a home. Even if you decide to take a mortgage, the financiers may require you to make a down payment. The more money you have also make it easier to get better terms on a mortgage than the contrary. This means that the main advantage of renting over owning a home is the fact that renting is less expensive upfront.
