When is it Better to Rent Instead of Buy a Property?

Is it even better at all to rent instead of buy a  property?

According to a report in The Telegraph, it may be more suitable for those looking to move into a new home to rent instead of buy a property. The choice to rent could prove to be better for the economy, since banks are not approving mortgage loans for home buyers who can’t afford the loans long-term. Also, individuals and families who are considering buying a home are very unlikely to seriously consider homes that would put a strain on their overall budget. I had a look on Citylets and there were some absolute bargains, like a modern one bedroom flat in Edinburgh for as little as £420 per calendar month. Some people pay more than that for their car.

It’s also important to think about how long you’re going to be living in the area where the home is. Do you want to raise your family in this city? Do you have job security there? Does your extended family also live there? These factors will help you determine if you’ll be in the area for a year or two, or if you want to make this home your permanent residence. The general rule of thumb is that you should live in a house for about five years before you decide to buy it. This way, you’re likely to get back the money spent on closing costs and home maintenance. So, if you know you’re only going to be living in the home for two or three years, renting is a better option.

Renting is also a better option if you have a hectic schedule and know that you won’t be able to keep up with all the maintenance the house needs on your own. When you own a home, all the repairs and upgrades are your responsibility. When there’s a plumbing issue or landscaping problem with a rental property, it’s up to the landlord to resolve the issue. This puts more money in your pocket, and debunks the myth that renting is more expensive than buying in all cases. You’ll also have the peace of mind of knowing that homeowner association fees are not yours to pay as long as you’re renting the home.

As with all financial decisions, it’s important to properly weigh the pros and cons of renting a home before you make your final decision. Purchasing a home is one of the most important choices you’ll make. Thinking about the length of time you’re going to be in the home, how much you can afford to pay each month for the home,and the fees associated with living in the home will likely assist you in making the decision to rent – at least for now.