Buying or Renting a home? Here are 5 reasons why Buying is Better
Last Updated on December 15, 2021
It’s a pretty big decision to make: buying or renting a home.
For many people, they want to own a home because there’s a sense of security and stability that renting just can’t bring.
Renters don’t have the opportunity to make long-term investments in their property, which will appreciate over time and increase their net worth.
If you’re still debating whether buying or renting is the better choice, read on below for some great reasons why buying is the better option.
1. Long-term Buying is Cheaper than Renting
Rent money is money that you can no longer take back. If you’re a renter, you are most likely making monthly payments for a property that you don’t own, which means that you aren’t building equity.
Even though a home is a major purchase, and can be quite a lump sum, the fees that come with renting end up being higher in the long run.
It’s always better to pay off your own property than to pay off someone else’s assets.
2. You can Build Wealth Over Time
Having your own house allows you to have a smart way to build lifelong wealth. Your home is a valuable asset – which is worth more than just having a place to live in.
Real estate properties, especially during these times, have been known to increase their value over time or appreciate. There aren’t really any other assets that can build your wealth more consistently than owning a house.
The unfortunate thing for renters is that you are building your landlord’s wealth and not your own.
If you’re combining it with leverage, real estate appreciation can offer big returns.
3. Living Expenses are Lowered in the Long Run
Think about living mortgage-free or rent-free someday? It’s a very attractive concept for many people. For renters, this is an unattainable goal as you will always be paying rent monthly.
Though you do want to take into account that owning a home comes with other expenses like property taxes and insurance. But that’s all minimal compared to the money thrown into an abyss by renting.
4. You can Make it Your Own
You may be getting tired of your bathroom or kitchen and you want to update the style. Well, you’re free to do so as a house is something you own.
The renovation possibilities are endless when you have your own home. From repainting to full remodels, the flexibility that homeowners have is truly an appealing aspect for many.
Renters don’t have that type of luxury. From lease contracts to terms to other associated costs, renting can get complicated when you want to make some upgrades to the space.
5. Buying a Home gives you Stability
There are many homeowners that would agree that having privacy, peace, and stability makes it all worthwhile when owning a home.
If children are something that’s in your future, they will always have a place to call their own. Depending on where you find a home, there’s a great opportunity for schools in certain districts.
If you can, Buy, don’t Rent
There are many reasons that make buying a home better than renting. Not only does it save you on rental costs that go nowhere, but you will be able to build your net worth.
Purchasing a home helps you feel more empowered and gives you and your family the stability to create memories as you build a life together.
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