Have you ever thought if buying a home is better or renting? Should I buy a house and pay mortgage repayments or pay rent?
You may choose to rent because it could be too difficult for to buy a property. It can be too difficult for you to save up for a house. Or you may choose to continue renting rather than committing to monthly mortgage repayments.
Renting could allow you to invest your money elsewhere. In my last video I mentioned that people could choose to continue renting and buy an investment property.
Renting could also allow you to invest your money in shares, or in a business venture or you could be someone who have a travel bug and would spend your savings travelling around.
Renting offers flexibility and freedom. Although, if you continue to rent, you could miss out on property market opportunities.
While renting can offer you more freedom, buying a home can offer you security. It could offer you a sense of achievement of owning a valuable asset.
Buying a home offer freedom of owning your own space. Your asset could rise in value in the future that could help you achieve financial freedom. And if you are able to access equity from your home, that could help you achieve your other dreams.
What’s better though?
Renting is not that big a financial commitment as mortgage repayments. Rent is an expense to you that is not making any money for you. It helps your landlord make money or pay their mortgage. Buying a home for a lot of us can be daunting and difficult. But in long run owning a real estate could be a better financial outcome.
If you are renting because of the freedom and flexibility if offers, great! But if you are renting because you think you cannot buy a house, maybe it could be worth your while to speak with a mortgage broker.