Rent or Buy a Home?
Should I rent or buy a home? That is a question lots of American’s have especially in the variety of fluctuating markets. However those that are unaware of the different types of market should really take a look at the vital categories in their specific location. “Renting may be a better option for you right now, and there’s nothing wrong with that even if the American dream has you thinking you haven’t made it until you’re a homeowner.” Says the article Briana Mcgurran author of “should I rent or buy a house” written online at Market Watch. The jump from renting to owning is a huge financial step, not just a change in lifestyle. You’ll need a potentially hefty down payment, solid credit and a plan to live in the same place for long enough to make buying worth your time and money. With that being said, it may sound a bit intimidating, but perspective in this type of situation is all not that bad. Three quarters of renters ages 18 to 39 say owning a home is better than renting because it’s a solid investment and protects you from rent increases, according to the May 2014 Fannie Mae National Housing Survey, but that’s only true once you’re financially secure enough to buy. However surveys may not always be true there lots of articles on millennials not wanting to take on a mortgage due to that specific generation being more open minded, and a bit more indecisive of where they want to reside. “Sure, renting feels like “throwing money away.” But when your lease is up, you have the option to move to a different neighborhood, get your own place without roommates or cram your stuff into a storage unit and travel the world.” Owning a house doesn’t come with that flexibility. Buying and selling a home is a complex, expensive process that includes closing costs and a real-estate agent’s commission that could be 5 or 6% of the property’s price when you sell. If your job or career requires frequent moves or relocations, renting is probably the better thing to do. If you anticipate staying in the same place for a number of years 10 or more, it may be worthwhile to buy a house. Regardless, you need a place to live. If you rent, you pay your landlord, and he/she gets all the tax write-offs (and headaches of keeping your rental in good shape). If you buy, you are your own “landlord” and you get all the write-offs and the “joy” of keeping your place in good shape. It usually comes down to the individuals specific place in his life whether he’s financially ready, or if the person is settled in their occupation, and having great relationships with the spouse or loved one. Buying a home is a beautiful thing, it’s where lots of memories will be made. In life it is important to have those memories and be able to reminisce in the future of how awesome the choice of getting not only your home, but your dream home when you decide to search. It’s fairly obvious that it usually comes down to oneself situation, and lots of researching should be done on that big decision.