Many people believe that owning a house is all the time overall cheaper compare to renting it. However, nothing is in our life without risk. Investing in real estate property might be beneficial or bring losses. You might lose not only from reselling it for lower price compare to what it was bought for, but amount spend on repairs and maintenance might never be returned. The older house you purchase the higher risk of facing costly improvements.
Before making a final decision whether rent or buy a house always take into account time you are planning to stay in one place. If the future is unclear and sitting in the same city or town is not your lifestyle renting a house could be the best solution with all of its advantages.
Not responsible for the property
When people need to move they just should give some advanced notice to the owner, turn the key, and leave. Tenants, who move out do not deal with realtors, do not look for potential buyers or in any case care what will happened with a property.
Do not face repairs
When a tenant rents someone else’s property he doesn’t need to worry about anything other than monthly payments. Usually there are no surprises with anything as some owners might face. For example, a basement might get flooded or roof starts to leak. Even if any of those happen it would not be your concern. Other thing to consider is that people who rent will never face any major periodical improvements such as kitchen or bathroom remodeling that can cost well over $15,000. This is especially the case with old houses where renovation is almost unavoidable.
Do not deal with problems
If something happens you are not on your own with the problem. For example, in case any of the following will occur like clogs in a kitchen sink, bathtub, toilet, or floor drain, you just need to call to the owner who should fix that at his own cost.
You can share the cost of internet and cable with other tenants or the owner if you rent an apartment in a few story building. In addition, usually some or all utilities are included in the rent so you do not need to worry about paying them. Some rents will offer you to use their furniture. So you do not need to furnish the place at your own cost.
People who rent will never face any burdens such as long-term contract with a lender which obligates them to make certain payments for the next 30 years or so. It might be ok for individual who completely settled down and do not plan to move to other state in order to find a better job place, but for others it might be too overwhelming to deal with that especially if they are not experienced and do not know the law.
No debts to a bank
Tenants won’t fear that some day they might lose their work and won’t be able to pay mortgage resulting in foreclosure. To sign long-term agreements is always so risky that many times it does not worth the price. No one has a crystal ball to see the future, that’s why it is so hard to guess what will be more beneficial to you in 20 or 30 years.
No worries about property taxes
Depending on the area property taxes could be significant expense and worse of all they have a tendency to grow constantly. Homeowners cannot forecast how much they have to pay next year but for people who rent it is not a concern at all.