Having a roof over your head isn’t something you’d think twice about. But something that you may be unsure about is whether it’s more advantageous to keep renting, or whether you should invest your money into buying a home. While both can have benefits depending on your situation, buying is usually a better long-term financial option. Here’s an overview of what you should know about buying vs. renting —
If you can afford it, buying is usually a better financial decision than renting because homes appreciate over time. This means that if you buy a home that’s valued at $200,000 today, in 20 years, it may be worth twice that. When you sell the home, you get to keep the difference between what you originally paid for it and what you sold it for (after paying off your mortgage). As such, buying a home can be one of the best and most lucrative investments there is.
One of the primary reasons that many people choose to buy a home is simply that owning your own home means that you’re the one in charge of the home and your property — there’s no need to deal with a landlord! This means that you can do just about anything with the home that you want, ranging from remodeling to installing a swimming pool in your backyard and just about anything in between.
Anyone who’s ever rented knows how frustrating it is to get a notice from your landlord telling you that rent is going up next year, putting you in the tough bind of having to choose between paying that new, higher rent or moving to somewhere more affordable. When you own your own home, though, your mortgage stays the same every year (assuming that you don’t have an adjustable-rate mortgage). This means that you won’t have any financial surprises related to your monthly payments, which can be a huge relief.
Of course, in addition to thinking about the financial benefits of owning vs. renting, there are some other questions to ask yourself that will inform your decision:
If you’re ready to buy, the experienced real estate agents at The Jana Caudill Team can help. Call our realtors today to learn more about the home-buying process and why doing so may be the right choice for you.