One of the most significant decisions that anyone can make in their life is to purchase a home.
Some home buyers may wonder if their decision to buy a home is the right decision for them since the average person changes their mind regarding their decision every five to seven years.
While considering this information, many people do wonder if purchasing a home is the best option for them. However, there are many advantages to buying a home.
Yet there are disadvantages, which means renting may be the better option for them. The best way to know whether buying or renting is the better situation; the individual must look at their position to make the right decision.
The following are some of the advantages of renting that the consumer may want to consider:
Despite the advantages of renting, there are some things that renters should take into consideration before choosing to rent.
The following are advantages of buying that one should consider:
Despite the various advantages, there are some things that buyers need to know and be aware of before choosing to purchase a home:
There are two factors to consider in this equation: How much the homeowner expects the home to appreciate and how long the homeowner plans to stay. A home buyer usually needs to stay in the house for at least three years to make up the costs. Waiting for five years is a preferable time frame. However, the homeowner may need to stay longer to be ahead compared to renting, which depends on the part of the country one resides.
Affordability must also be taken into consideration when deciding to buy or rent, despite the plans of a person to stay in a home for a long time. Many financial experts suggest that buyers keep their monthly residential payments at 33% or below their gross monthly income.