Home
ownership is often billed as smarter or cheaper than renting. While it does
have its advantages--stability, freedom, etc.--buying isn’t always the best
option. Here are five good reasons to rent.
Maintenance
and Repair Costs
Unlike
ownership, When you rent a home, your landlord is responsible for all of that
property’s maintenance and repair costs. Depending on the age and condition of
the property, along with any unforeseen disasters, these costs can add up.
Real
Estate Taxes
An
obvious benefit that renters have over homeowners is that they don’t have to
pay real estate taxes. Depending on the state, county, and municipality you
live in, these taxes can pose a significant burden on top of your mortgage and
other costs.
Flexibility
Things
change, particularly when you’re a young professional. If in six or eight
months you’re offered a fantastic job opportunity on the other side of the
country, you don’t want to be stuck with a house you can’t get rid of.
Alternatively, if times get tough, renting also allows you to downsize more
quickly.
No
Big Down Payment
A
rental security deposit of one or two months’ rent can sound pretty steep, but
it’s nothing in comparison to the down payment you’ll have to make when
purchasing a home. If you don’t have the savings to make that payment with
enough left over for a few months’ mortgage payments, renting is a better
option.
An
Uncertain Market
While
home prices have recovered somewhat from the 2008 market collapse, experts are
divided about the timeline and the extent of the real estate market’s
bounce-back. As a renter, you’ll remain unaffected by these fluctuations.
So
if you’re looking for your next home, be sure to consider the advantages of
renting before you buy.
