Buying verses renting oftentimes simply comes down to finances but beyond that, there are many advantages and disadvantages to each. So how do you decide? Oftentimes it comes down to the lifestyle you want to lead and where your priorities lie.
Buying can be a great option as it allows your money to build equity in something. A home is a great investment. Beyond that it has a lot of advantages as well.
If you own your own home, you can do with it basically what you wish. You can paint away, change the landscape, renovate, etc.. In short, you can really make it your own. Not to say that you can’t do that with renting but you have the option to make bigger changes when you own.
On the flip side, with owning a home comes a lot more responsibility. All maintenance and upkeep expenses are your own. If the roof needs repairing or the driveway repaved all that falls on your shoulders. Owning a home really is a big personal, and ongoing, investment.
Renting can be a great option for short-term living, checking out a neighborhood before you invest in the area, and helping to prioritize your time on things beyond your home.
If you rent your home, you have much less responsibility for its upkeep. If an appliance breaks, it’s often the landlord’s responsibility to replace it. This can be a great financial and personal hassle that is taken off your plate. In short, there’s much less financial risk when it comes to unexpected expenses when you rent.
On the flip side, your money is not going toward an investment, which may or may not be a concern at this point in your life. When you rent, you also have less freedom to make the home your own as far as renovations, sometimes including painting rooms the color of your choice. You certainly can make it your own in many other ways though!
Renting vs. Buying
While oftentimes whether to buy or rent is looked at a purely financial decision, as you can see, there is a lot more to think about when you make this decision. Buying a home is more than a financial investment it’s a big personal investment.
There’s also a middle ground that you may want to consider, which is townhouses or condos where you do buy your unit, but much of the maintenance, as least the outdoor maintenance, is taken care of for you. Townhouses and condos can be a bit less “risky” as you will have less unexpected expenses and responsibilities, while still having the benefits of investing in your home and having more freedoms as far as what you do to the inside of your home. It’s definitely an option to consider, especially if you find yourself waffling over the idea of buying verses renting.
What is your Preference?
Do you want to invest more of your time and money in your home? Or do you want something more turn-key? Do you want the freedom to fully renovate as you wish? Or are you generally pretty happy making your home yours based on decorating it with your own personal items? Which makes more sense based on your priorities?