In the world of real estate, one question continues to plague home-seekers: to buy or to rent? While there are many advantages to buying your own home that doesn’t mean that renting doesn’t have its benefits. There is a case to be made for renting, and a strong one at that. Here are five pros of renting vs. buying.
- It’s a great way to establish credit.
If you’re just starting out on your credit journey, renting can help. By paying your rent and any utilities and fees on time, you’re building up a great credit score. Even if buying is not in the cards at present having a good credit score will make any eventual dreams of homeownership possible.
- It’s cheaper to rent.
Buying a home is a big financial responsibility- and an expensive one. Rent on a home or apartment is much cheaper by comparison, with smaller down payments and lower rent. Other expenses, like insurance and utilities, are also much cheaper when you rent. The costs of maintaining your home also add to your over all investment, which brings us to:
- No need to worry about maintenance.
Maintenance is a landlord’s responsibility. As a renter, all you need to do if something breaks is give them a call, so they can take care of the problem for you. Owning means being responsible for any and all your home’s maintenance issues.
- No property taxes.
Like maintenance, property taxes on rentals are paid by the landlord. That is not the case with homeownership. If you take care of your rent and any other required expenses, there is no need to pay a property tax come April.
- Increased flexibility
Renting allows you much more freedom in terms of needing to relocate much more easily than owning. If you’re likely to move around for work, or if you simply aren’t ready to put down roots in a specific area, then renting is the best option for you. Whereas buying a home requires you to wait until your home is sold, you don’t have to worry about finding a replacement once your lease is up.