Top reasons to rent over buying

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It’s on most people’s life-goal list to get on the property ladder, and that’s understandable. While being a homeowner does have its advantages from an investment point of view, there are also plenty of situations whereby renting may actually be a better choice; whether for economic or personal factors. Let’s dive in and take a look at some of the top reasons that renting may actually fare better.

Freedom

It’s no secret that buying a home is a big financial commitment, and there’s currently a trend amongst millennials for putting this commitment on hold somewhat. Homeownership has long been a part of what it means to be successful or to achieve the concept of the ‘American Dream'. Yet our current generations are redefining the concept of what happiness and success are and often seeking experiences that involve, travel, career hopping and exploring life more spontaneously. These individuals are only opting to buy a house later on when they are absolutely ready to commit to staying in one place. We all have different ideas of happiness and different life goals, and that’s okay, yet there’s no denying the freedom renters have to easily change the plan without being tied down.

Insurance & Taxes

As a homeowner, you’ll experience some added costs in the form of insurance that you’ll need to protect your property. In addition to this, you’ll be paying homeowner taxes every year. As a renter, you don’t have to worry about these costs nor about any maintenance issues. What’s more, if the economy is bad this arguably puts more pressure on homeowners or those pursuing homeownership. With this in mind, you’ll want to think carefully before making a final decision here. This local report is a perfect example of data that can be helpful when renting a house. It’s best to do your research and map this against your monthly budget plus make a list of pros and cons to help you assess your wants and needs.

Entrepreneurs & Net Worth

Swift advancements in technology over the last few years have aided the rise of the entrepreneur; it couldn’t be easier these days to start your own website and adopt digital marketing practices to get your side projects off the ground and turn them into full-time businesses. If you’re someone with this kind of ambition, many aspiring entrepreneurs are choosing to get their businesses started first and go for homeownership later on. This makes excellent sense from a financial point of view as well as when you consider how you may have less free time when emerged in the process of buying a house. While purchasing a home can be a great way to increase your net worth, it isn’t the only way to do so; there are plenty of opportunities to invest money elsewhere.  

Opting to continue renting now does not mean that you will never get on the property ladder, it just means that you are still assessing whether this is the right time for you and your family before jumping in the deep end. There are many attractive rental options that could end up suiting you a little better until you are ready to commit.