A massive decision that we all have to make at some point in our lives is if we are going to rent our home or whether we should save and buy our homes. In this article, I’m going to go through the benefits of each, so if you’re currently stuck with that dilemma, hopefully, you can make up your mind.
Renting
Renting is an easy option for those of us that had no option but to move out of our childhood homes. Rented homes are easily obtainable, and if you’re able to get yourself a home through your local council, you won’t have to pay a deposit either.
Pros
Even if you choose to rent privately, the initial deposit is significantly lower than if you were to purchase a property.
When renting, if a problem arises with the property it’s typically up to the landlord to pay for and make repairs (subject to reason for repair).
Cheap rent if you’re in a council property, if you’re in a private property the rent is much higher.
Super useful if you can’t afford to buy your own home.
Most places will still allow you to decorate as long as it is tasteful.
If your family expands, there are still options available to move.
In most cases, you can choose what kind of property you want. For example, you could look at condos for rent if you’re not in need of a house.
Cons
Your landlord can ask you to leave and sometimes only has to give you a month's notice to vacate the property. This can also make it difficult for you to find a new property. If you do manage to you may have to take time off work to move your belongings. Uprooting the family can be a stressful situation for everyone involved.
You are restricted to what you can do with the property even though you may be able to decorate, it will be unlikely that you’ll be allowed to modify inside walls in any way.
Renting can work out to be more expensive than a mortgage.
Buying
Buying your home is the more difficult option for most. It’s difficult to get onto the property ladder, and if you’re already paying rent either at your parent's home or your rented property, it can be hard to save for a deposit.
Pros
It’s your property; you can decorate, modify and change whatever you like.
Owning a property is a fantastic investment. If in the future you’re able to buy another property, then you could rent it out and create an income just from property.
Even though the initial deposit is much higher, it works out cheaper in the long run than renting.
You are your landlord; you can’t be asked to move out of the property (unless of course, you don’t pay your mortgage).
If you have children and need a bigger property, you can sell and move up the property ladder.
Owning your home brings a sense of security to your family. You’re in control of where you are and how your home is maintained.
You can choose what kind of property you want
Cons
Saving the money for a deposit can be challenging
You have to pay for and make any repairs
If you lose your job or your income declines, mortgage repayments could become hard.
There are pros and cons to each of the options. I think in this day and age that we should make the decision based on our lifestyle. If you’re someone that likes to travel as much as possible, and also likes to live in varied locations then buying a home may not be the right option for you. If you’ve got a family, and are fed up with landlords and not being able to make the place feel like home, then buying is probably the option for you!
If you have chosen to rent, you can either apply for housing with your local council, or visit an estate agent to see what properties are on offer, and within your price range!
If you’re going to buy your property, be sure to speak to a financial adviser that can assist and advise you with all of your purchases. They will go through budget planning with you and ensure that you’re able to afford the mortgage repayments.
Which one will you choose? Happy home hunting!
