To buy or rent, that is the first question.
If you are currently renting a home or apartment, you may be considering whether or not it would be advantageous to buy. Though the economy has changed dramatically in the last several years, many people still consider owning a home part of the American dream. Here are some things to think about as you weigh the rent vs. buy decision:
- Renting provides flexibility – to easily change jobs, to change cities, or even to test out an area to see if you really want to live there long term.
- Renting has less financial risk – should you experience a change in job status – and/or if you haven’t yet put away a good rainy day fund to cover unexpected financial challenges, renting may be a better bet. When you rent, you avoid many of the extra expenses that come with home ownership, like maintenance, property taxes, some of your utilities, etc.
- Renting means less “house work” – your landlord takes care of the yard, the leaky faucet, and more.
- Renting often provides amenities – like a swimming pool, a fitness room, or a playground.
- Buying provides “home