There is a right time for everything, including when to rent and when to buy a property. There are different factors to consider carefully before you decide to change the status from tenant to owner or if you are young and looking to move out of your parents home. Lets look at different factors that contribute to renting vs buying a home.
If you are currently renting a home but are thinking of buying, there are various factors that you need to consider carefully before you do so. Possibly the most important question you need to ask yourself is whether or not you are ready to stay put for several years or if you might still want to relocate for work or other such reasons. You need to know that buying a home involves many expenses other than the purchase price and if you have to resell too soon, the value of the property will most probably not have the time to grow sufficiently for your regain these expenses.
Therefore, if you move frequently for work or like to travel a lot, you would probably be better off renting a property. Furthermore you need to assess whether you are financially ready to buy a home. It isn’t that easy getting a home loan these days unless you have a substantial deposit saved as well as enough money to cover transaction costs such as transfer duty, legal fees and bond registration changes. In conjunction, you also need to be aware that any home you buy won’t suite your needs completely meaning that there will most probably need to be some initial alterations and customization. This ranges from increased security systems to additional furniture and even a repaint.
We hope that this article was informative, if you have any questions, please comment them in the section below.