If you’ve been a renter for a while now, and you aren’t sure about moving forward with buying a home, there isn’t really a reason to. According to Fern Crossing, 35% of households live in rental properties, so you are not alone. Your mental health could be put through the wringer trying to buy a home in this market, so know that you could be doing the right thing for yourself and your family. Below are five reasons why renting is better than owning a home right now.
1. No Property Maintenance
One of the biggest complaints from homeowners is the home maintenance costs that come with owning a property and the upkeep. When you rent a property, you aren’t responsible for the costs that come with these properties. You can contact the landlord, and they will have to cover the cost to have it fixed and updated. As a tenant, if the work is expensive and long-term, they will have to find a way to get you somewhere else to stay until this is covered.
2. Community Amenities
When you rent something like an apartment, condo, or townhome, many of them have amenities that are available to those renting the property. For example, you have access to onsite laundromats, pools, and community centers that you get to enjoy without having to maintain on your own. Most of the expenses that are meant to cover these things will be included in the rent, and if something happens to them, the landlord will be responsible for reaching out to a contractor. They are also responsible for making sure that these things are maintained and keeping up with the contractors who are doing the maintenance service.
3. No Property Taxes
One of the major expenses you’ll have as a homeowner is property taxes that need to be paid each year. Depending on the value of the property, they can go up each year, which can impact your overall budget. As a renter, you don’t have to cover these expenses, and they aren’t a part of the rent. That is the responsibility of the property owner, and you don’t have an obligation to that as the tenant.
- Flexibility To Move
Once you get close to your lease being up, you have the option to stay or leave. Homeowners aren’t able to leave whenever they want, since they have to actually sell the property and have a loan attached to the home. You don’t have these ties as a renter, and if you’re looking to move to another place in town, or another city altogether, you can just not renew your lease and start looking for new homes. There is flexibility to even upgrade to new communities if you aren’t happy with the area. If you have a job that requires you to do a lot of moving, then there’s something to keep in mind when renting compared to owning a home.
5. Less Insurance Costs
Another cost that homeowners face is home insurance and having to have larger policies because they have more of a responsibility. As a renter, you only need renters insurance that covers your personal property and some liability coverage. This cost is less than owning a home, and you can make more room in your budget for it. Some home insurance policies will need umbrella insurance or flood insurance to be supplemented in the policy.
As a renter, you’re fortunate to not have to take on too much responsibility. While you’re renting, most landlords will also update your credit report with on-time payments, and that can only help you just like a mortgage would. Therefore, you aren’t missing anything from not owning a home, especially if you aren’t fully committed to the area you’re living in. If you have any potential changes that could happen in the short term, you should consider them when renting over owning a home.
