There is a never-ending debate with both sides fiercer than a Republican v. Democrat. Those who rent, and those who buy.
The renters will claim they have all the freedom. The place hasn’t glued them to it.
The buyers will say they are the winners in the end because after paying off the 40-year mortgage they get to keep the house.
We won’t back any of these sides. Not because we are afraid but because both have their points. And if you consider your own family, your situation, your salary, one or the other can good for you.
But the question remains, buy or rent?
If you buy the house, the most important issue is financing. If you’re buying an old house, keep in mind the cost of repairs. If a new house is what you are looking for, you shouldn’t have to worry. But that’s why you pay extra, right?
If you rent, upkeep is not for you to worry about, which may be refreshing. Plus, if you do sign a year’s contract or longer, you also don’t need to worry about losing your home. Most of the time. However, the cost of rent may go up if the demand is high.
The matter of the price does not play a part in this debate for the effect by economists called equilibrium. In simple terms, the market fixes itself to a point when buying or renting costs round the same. You don’t have to understand it. Just imagine you won one of the world’s best payouts at casinos.
However, only reason to consider the price is the long-term effect. For you, for your kids and grandkids the house will be their own. But it doesn’t mean that the rising value of the house makes you money. If you move around a lot, maybe. But even if the market is going up and your house is worth $100,00 more worth than what you bought , so did all the other houses. So did the house you are going to move to.
Ultimately, the answer is… you. Some hate the process of taking out mortgages, selling the house, others don’t like the uncertainty of renting. Should you rent or buy – it all comes down to the individual. If you like the idea of owning a house, taking care of it, buy a house. If you are not in favor of long-term commitments to banks as well as locations, find yourself a good option and rent.