Rent Or Buy? It’s All About Lifestyle
There is an old stigma attached to renting a property. People say renting is dead money. You are paying into something, quite often more than you would should you take a mortgage, and there is nothing to show at the end. You don’t own your property.
This is still true, in many ways. A lot of families now use their property as the main investment towards their retirement. Giving them a better option when they stop working and money to play with. Of course others like to ensure they have a nest egg to leave their children and improve their lives. This doesn’t mean that buying is best for you though.
One of the greatest benefits in renting a property is that you aren’t tied into anything for much longer than a year. This means should you hit a major financial difficulty you can make very quick steps to downsizing your monthly outgoings without causing any black marks on your credit history. It also ensures you don’t have the stress that comes with losing the property over your head or having to sell quickly, meaning you can focus on rebuilding life after debt.
You also don’t have the major repair bills hanging over your head either. Your landlord is responsible for keeping the home in good order. Electrical issues, construction issues and heating issues all lay with him. If your boiler breaks down in a mortgaged property you will have to find the money to repair it. In a rental? It is a landlord’s responsibility.
There are a number of incredible apartments which have a nice communal buzz to. Such as these gorgeous properties from Alta Apartments. Purchasing in multi managed blocks like this means you have support on hand from a leasing agent and the other tenants in your building.
Of course there is something unsettling about losing control of your destiny. With an independent landlord you may find they want to sell the property, whilst you have rights, you cannot force someone to let you stay. This may make you feel like you can never truly settle.
Renting is definitely the first step everyone should make before thinking about climbing the property ladder. You will get the opportunity to understand the monthly expense, learn how to budget and plan and see if you really enjoy the experience of living on your own. There are highs and lows whichever route you go down but buying is a complete commitment which is very hard to walk away from, so ensure you get lots of great financial advice and that you are buying in the place you want to settle for the distant future.
Seek out the best rates if you are considering a mortgage, there are loads of sites on the internet which are there to help you get impartial and fair advice. Build a budgeting plan and talk to your bank about your options. Then make a decision on what you feel is best for you, don’t buy a property just because everyone around you says it is the best way forward.