Alice Kuder

REALTOR®

Is Home Ownership the Right Choice for You?

 

It's probably safe to say that most people want to own their own home.  Home ownership is, after all, referred to as "The American Dream".  Nevertheless, the desire to purchase a home should not be assumed or taken lightly.  There are many pros and cons associated with renting versus purchasing, and it?s wise to consider them all before making your decision.

 

 

Advantages of Renting

Advantages of Ownership

Freedom to change place of residence on short notice

Added tax deductions to reduce tax liability

Tenant-Landlord laws protect your rights

Build equity (a form of savings)

Fixed rent during the term of lease

Appreciation over time (gain in value)

No direct property tax (included in rent)

Ability to borrow against value of home

Landlord is responsible for major repairs

Stability/Security

 

Opportunity to develop community

 

Fixed payments over course of loan

 

Freedom to decorate/remodel as you wish

 

 

Disadvantages of Renting

Disadvantages of Ownership

No equity accrued from rental payments

Less mobility

Need for permission to remodel/redecorate

Pay for upkeep/improvements

Rent can go up with short notice if no lease

All repairs are up to you

Possibility of eviction or sale by owner

Possible yard work

Landlord makes the rules

Lack of asset liquidity

 

Property tax increases

 

Which way do the scales tip for you?