There are many benefits of buying a home that you don’t get when you rent. When you own a home, you have the freedom to do what you want with the property to suit your style and needs. Buying also allows you to build equity in your investment. Renting, however, helps build equity on someone else’s investment while leaving you without the freedom to modify your residence to meet your needs. Find out more about the benefits of when you buy vs. when you rent a home.
Buying Finds Freedom
When you own a property, you can remodel to make the space suit your needs or add to the property to increase your value. For example, you can paint the walls whatever color you want or plaster them with wallpaper. Feel free to put up paintings and shelves and make other changes to make the house feel like your own.
While buying gives you more freedom to make updates, renting does the opposite. Many lease agreements explicitly prohibit any changes to the property, including changing the paint color or making nail holes in the walls. In other contracts, furry friends are also a no-no. Renting can feel stifling, but you have to remember that it is someone else’s property that they have to protect.
Buying Enacts Equity
One of the many benefits of buying a home is that you can build equity. When you make payments on your mortgage, you invest in your property. If you need to open an equity line later to pay for home improvements or other interests, you can do so against the money that you have already paid on the house.
Renters do not have the luxury of equity no matter how long they have been renting from a single location. The landlords, however, do benefit from the equity that is gained in the properties they own.
Buying Hampers Hassle
Renting a property can be a hassle. Even with the best of landlords, games of phone tag and orchestrating times for repairs are not ideal for working families. With the worst of landlords, you might not even get a response for repair requests, or you could be faced with the cost of repairs on your own when you rent a property.
There are many horror stories about non-responsive or nightmare landlords across the internet for your reading pleasure. While the stories might be amusing to read from afar, experiencing the anguish is no joke.
Another issue you may run into while renting is a rent increase. If rent increases, you have to attempt to negotiate with the person who owns the property; if no agreement can be made, you may have to move to another property. All in all, it can be a stressful environment that never quite feels permanent.
Contact the professionals at Reliant Home Funding today for more information if you want to learn more about the benefits of when you buy vs. when you rent a home and how to take the next steps toward your future as a homeowner.