How to Decide to Rent or Buy

The decision to rent or buy a property is one that many people face at some point in their lives. While owning a home is often considered the ultimate goal, there are actually many benefits to renting that should not be overlooked. In this blog post, we will explore the benefits of renting a property over owning, backed up with sources.
1. More flexibility: One of the main benefits of renting a property is the flexibility it provides. Renting allows you to easily move to a new location if you need to, whether for work or personal reasons. Owning a home ties you down to a specific location, which can be limiting. According to a report by Zillow, the average homeowner stays in their home for 13 years, while the average renter stays in their rental for just 2.5 years.
2. No maintenance costs: When you rent a property, your landlord is responsible for the maintenance and upkeep of the property. This means that you don’t have to worry about the costs or hassle of repairs, replacements or upgrades. A report by Zillow found that the average homeowner spends $9,080 a year on maintenance and improvements, while the average renter spends just $3,510.
3. Lower upfront costs: When you buy a home, you typically need to put down a large down payment and pay for closing costs, which can add up to tens of thousands of dollars. When you rent a property, you typically only need to pay a security deposit and the first month’s rent. This makes renting a more affordable option for many people, especially those who are just starting out in their careers or have other financial obligations.
4. Access to amenities: Many rental properties come with amenities that would be expensive or difficult to access if you were a homeowner. For example, a rental property may have a swimming pool, fitness center, or clubhouse that you can use at no extra cost. Owning a home with these types of amenities can be costly and time-consuming to maintain.
5. No property taxes: When you rent a property, you are not responsible for paying property taxes. This can be a significant savings, especially in areas where property taxes are high. A report by the National Low Income Housing Coalition found that in some states, renters can save as much as 50% compared to homeowners on property taxes.
In conclusion, while owning a home may be the traditional “American dream”, there are many benefits to renting a property that should not be overlooked. Renting provides more flexibility, lower upfront costs, access to amenities, and no maintenance or property tax costs. For those looking for a more affordable, low-maintenance and flexible living arrangement, renting a property may be the best option.