Are you thinking to Buy or Rent?

Buy or Rent? Whether you decide to Buy or rent, either way you’d be wise to weigh up the advantages and disadvantages of both. Buying a property is one of the biggest decisions we are likely to make in a life-time and many people view purchasing property as a lifetime saving, for retirement or to gain wealth.

• One of the biggest advantages is privacy.
• The ability to increase the value of your property to build equity.
• You can set your costs based on a interest rate amount.
• Part of the mortgage payment is tax deductible, the interest and tax.
• A sense of pride in ownership gives you standing with family and friends.

Disadvantages

• Be prepared for a long commitment.
• It can be expensive to maintain a home.
• It can take a long time to be in a position to change homes.
• It’s more expensive to initially buy, to sell and then after being in one place for a while makes it harder to move.
• It may take a long time for your property value to increase in value.It is a risk.

Renting a Home

• Renting a home can be cheaper than buying a home. Your payments tend to be lower than a comparable house payment, and you could save the difference.
• You have more freedom when you rent. Most leases are for 6-12 months. So, if you need to move, renting can be a good alternative to owning.
• Your landlord, not you, is responsible for performing nearly all maintenance and repair work on the property.

Disadvantages of Renting

• There is no tax break for renting. You won’t be able to claim any deduction for mortgage interest and property taxes when you get your tax returns.
• Your housing costs can esculate. Your rent will most likely grow from year to year.

So either way as long as you are happy where you are and don’t find yourself all of a sudden overwelmed by unexpected expences, it’s really a matter of choice.