Most people fall into the debate of owning vs. renting, and when it comes to owning a house, it can certainly prove a wise financial decision for many; however, one cannot rule out the alternate financial path of renting a house.
We cannot deny that both owning and renting a house are crucial financial responsibilities that involve several costs. However, compared to owning, renting still requires a smaller portion of money than the major expenses that are part of homeownership.
Here is how renting can be better than owning.
You Are Not Throwing Money Away with Renting
A common misconception about renting that you will find in most places is that renting is similar to throwing away your money, which, however, is not the case. When you hear this kind of narrative, you might feel a sense of urgency to own a home as soon as you can, despite the fact that you are perfectly fine with renting right now.
Here is the thing: renting a house offers the same basic utility that homeownership does, such as having a safe place to live, sleep, and keep your possessions. So, suppose your financial situation won’t let you pay the mortgage that comes with buying a house. In that case, you should know that your house is not an essential part of your identity, which means that you should focus on getting your basic needs satisfied without rushing into homeownership.
You Have a Cheaper Way of Living in Big City
Let us talk about the biggest con of renting over buying. The financial aspect of renting vs. buying has a lot to do with your preferences regarding where you like to live. If you like to live in bigger cities and move from one big city to another, then renting is certainly the better option for you.
If you are temporarily moving to Pasadena, California, you might want to check out these Pasadena short term housing options and see which one works best for you. When it comes to the bigger cities, renting is cheaper than buying even a starter home.
Despite the increasing costs of living, renting is more affordable than homeownership. There are several big cities where it is cheaper to rent than to buy, including San Francisco, CA; Austin, Texas; and Portland, Oregon.
The thing about renting is that you get to enjoy city life along with being able to invest in things that matter to you and contribute to your personal and professional growth without having to give up a big sum each month to mortgage and house repairs.
It wouldn’t be wrong to state that renting can significantly help you free up money and time that you can use to boost your income. Let us say you are an aspiring business owner, in which case, renting a house can be a massive money and time saving. Usually, you can find all amenities inside an apartment building, which means that you don’t have to spend money on gas to drive to the pool, gym, or coffee shop.
Leave a Reply