If you are a bachelor fresh from college, renting an apartment or a house may be comfortable for you. But, there might come a time when you will think about having your own home. It could be today, it could be tomorrow, but sooner or later you need to make a decision.
There are many factors you need to weigh and decide on. It all depends on your lifestyle, work, and even finances. And you need to give time to consider all of them since the time you will be making a decision; it will be challenging to take it back. You may decide to purchase a house only to decide to move after a few years. Or you may choose to continue renting only to realize you wasted a lot of money on rent instead of investing on a property. To help you decide better, read through this article.
Advantages of Renting
Renting a house is very easy; you do not have to take out any mortgage loan. All you have to do is make sure you make your payments diligently. There is no long-term commitment; you can always move whenever you want to. You can explore different neighborhoods and even cities. You can choose to live wherever you want to live with no pressure. You also do not have to worry about home insurance and maintenance. Renting is ideal if you have no plans to settle in one place or if you have no means for buying a house at this time.
Disadvantages of Renting
Despite all the advantages, you also have to know the problems of renting a house or an apartment. The first thing is that you have no real investment. You pay rent every month, but in the end, you gain nothing. You have no freedom to do what you want with the place. You will always need permission. Besides, it is not exciting to make changes since you will not benefit from them when you live in the apartment.
Advantages of Buying
When you buy a house, you are purchasing an investment. You are putting your money to good use. Every payment you will make will bring you closer to owning the house for real. You also have security since you have a place to call your own home. It is not difficult to get approved for a mortgage loan; after all, there is the VA loan Grand Prairie, USDA loan, FHA loan that often requires very low down payment. There is also a conventional loan that offers reasonable interest rates. Thus, if you can save up enough, it is easy to own a house.
Disadvantages of Buying
On the other hand, buying a house also comes with different problems. You will need to maintain it which means you need to spend money on its repair and maintenance in the future. You will also have to commit paying your mortgage loan since it often takes decades to pay it in full. The common repayment term for home loans is around ten to thirty years. So, that is a long time, and it could give you stress in the future.