When it comes to your home, you have the option between renting or buying. Depending on your financial situation, the idea that buying is always better might not be true for you. To decide whether to buy or rent, CoverHound is here to help you weigh the advantages of both:
Price
Of course, where you live will likely depend on your price point and how much you are able to afford on a monthly basis. Many people choose to rent because owning a home is too expensive or because they enjoy the freedom of being able to move frequently. The price of renting will depend where you live and can vary greatly from town to town. City-center rents will be much higher than homes or apartments that are more rural.
Most Americans purchase their homes with the help of a mortgage, allowing them to get more bang for their buck. Home loans typically require a down payment that can reach as high as 20 percent. If this is affordable, many would agree that homeownership is part of the American dream.
Space
For both renters and homeowners, the biggest challenge could be finding the right space. When it comes to which is more advantageous, the simple answer is that it depends on what you are looking for. Some professionals prefer to live in a city, close to work with urban attractions like restaurants and night life nearby, while others may want more property with a yard.
Upgrades
There is no doubt that homeowners can enjoy the freedom to make changes to their property, while renters are likely stuck with the light fixtures, bathroom tiles, appliances and sometimes the wall color. As a renter, getting upgrades in your apartment or home will depend on what the landlord plans to do with the property. It is sometimes possible to make some changes yourself, but it will have to be discussed with and approved by the landlord. Occasionally, some landlords might consider knocking some of the amount off your rent if you negotiate a remodel or painting job. However, more than likely, this won't happen. On the plus side, renters won't have to pay for these expenses, though homeowners do have more power to remodel, repaint or update their home. Likely the only restrictions will be from city laws and permits and homeowners associations.
Insurance
However you choose to live, investing in homeowners or renters insurance should be an essential part of your expenses. Fortunately, there a many options when it comes to finding an affordable policy that will help you cover the cost of your belongings and property in the case of fire, inclement weather or theft.
