The prospect of buying a home can be both daunting and exciting. It can be an emotional time since you want to fall in love with a new home. You may find yourself in a sticky situation financially. Don’t fall into that trap. In this article we will discuss Buying Versus Renting A Home. Decide for yourself if you can realistically handle buying a home or if renting would be the better option for you.
Consider time constraints.
Before buying a home, you need to ask yourself a few very important questions about the time you expect to live in the new home. If you expect to live in the home for a long period time then buying is definitely a great option. Should you only be looking for a home to live in for one to three or four years renting will probably be your best bet. If you will live in the home for several years, take into consideration some events that could affect the time you live in the home. Do you have a stable job? If your employment is stable and reliable, buying is a better option. If your job offers the potential to relocate down the road or is not stable, renting would be the obvious choice. Consider other variables in your life as well, like out of town family, that might force you to relocate in the future. If you can’t see yourself living in one place for more than three or four years, buying a home at this juncture might not be for you.
Consider your financial status.
Probably the most important factor in deciding whether to buy or rent a home is your financial situation. Purchasing a home can be the most expensive choice in your life. You need to be absolutely sure that you are in a place that you can take on this challenge. Compare the monthly costs of buying and owning a home with renting a property. You need to be aware of every expense that will go along with buying a home. Keep in mind that you will have to be able to afford expenses upfront. These include earnest money, a down payment, and other closing costs upfront. Think about what you have in your savings to pay for such expenses. You also want to consider unexpected expenses down the road. For example, when owning a home, you will have to pay for any maintenance. Also consider upkeep as well as for any unexpected repairs if a pipe bursts or the water heater breaks. You might also want to update or improve upon features of the home.
Whatever you choose to do, rent or buy, do the math before embarking on this journey so you won’t find yourself in trouble down the road.
If you need further help and useful statistics on the subject, watch Rhonda Duffy and Scott Slade – News/Talk WSB – on our Youtube Channel.
We hope you enjoyed this article on Buying Versus Renting A Home.