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Here’s why renting can be more beneficial to owning a property

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Here’s why renting can be more beneficial to owning a property

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Handsomely low mortgage rates and increased apartment rents in many cities have led many people to blindly rush into home ownership faster than they have originally planned. However, many people are choosing to wait until our housing market recovers, in spite of all seemingly good reasons to buy.

While you can’t build equity, renting will offer you the most flexibility and freedom, especially if you use a month-to-month lease. Rental property listing services online like McGrath rental properties should make your renting decision better for starters. Now here are more reasons why renting can be more beneficial to owning a property.

Flexibility. If you’re an adventurous soul, chances are you’re not contented with staying in a single city for long. That or you have a job that requires you to move frequently. If that’s the case, renting is right for you.

Let’s expound on this advantage. If you’re new to your career and you just arrived in town, still have ongoing college class, or if you have a complicated financial status, renting may be the right solution for you.

Still asking why?

The reason behind this is because your future may change in a moment’s notice, and it will be a lot harder to move from an owned home that it is from a rental space. Here’s one consideration: It wouldn’t be cost effective to own a property unless you plan to stay in it for at least 2-5 years.

Lesser carrying costs. If the shower suddenly breaks or if you want the roof washed, simply call on the superintendent/landlord and the problem is fixed. It is not your headache to find a handyman. Usually, it is the responsibility of the landlord to bring a plumber or an expert who can offer property maintenance services to do the jobs.

Anyway, some people may say that many homeowners even pay less for their mortgage than rentals, but hey, the maintenance issues above are part of it. Some of these maintenance costs can be very expensive; electrical issues, roof repairs, painting and more. Most of these maintenance jobs can’t simply be ignored either. For example, if the air conditioning was to break in the height of summer, then those living in the building could become really sick. Therefore an HVAC repair expert, like the one ones found at https://siriuspac.com/addison-air-conditioning-services/, should be called immediately. These repairs are the landlord’s responsibility and no the tenant’s. These are definitely one of the perks of renting instead of owning. Renting costs are predictable, no worrying about surprise maintenance expenses that may come up, and this can happen more often than you think. Take a leaking roof, for example. Sometimes you don’t realize that there is a problem until it starts to damage your home, and when it does, you may require the expertise of a company like SEI Roofing (for Roofing Services in Texas) to come and fix the problem for you, and these repairs could cost more than you initially thought. This is why renting could work in your favor as it is very likely that these repair costs have already been covered.

It can be cheaper than owning. If you have a large down payment of at least 20%, you probably will have to pay Private Mortgage Insurance, which will make owning nearly as costly as renting. Sometimes a low credit score won’t allow you to secure a lower interest rate, which can make mortgage costlier as well.

You Can Avoid Owning a Depreciating Asset. While it’s true that home prices have stabilized and are rising in most housing markets, you have no assurance that your home will increase in value over time. If the economy goes into recession, homeowners will suffer more than renters. This is because the market slows down and property house prices fall, and many homeowners are stuck paying their mortgages that no longer have any equity.

Avoid Debt. Mortgage. While investment professionals call it an investment. It is still a debt when it comes down to it. Do you want to stay out of debt and avoid the mortgage altogether? If so, renting is your best alternative. Being debt-free is an advantage in itself, don’t you agree?

Andy McGowan
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