One of the most common questions asked by people considering a home purchase in the next few years is whether buying really is the best choice for their specific situation. Take a look at the pros of each scenario to learn which may be the best fit for you. You can also use my Rent vs. Buy calculator to get a detailed look at your specific situation.
Pros of RENTING
- No responsibility for major maintenance items
- No property taxes or HOA dues to be paid
- No down payment needed
- No long-term commitment required
Good for:
- People who move job locations often or will only be in an area temporarily
- People who have recently gone through a foreclosure, filed for bankruptcy, or are trying to build credit
Pros of BUYING
- Most secure and certain investment to make money over time
- Monthly payments go toward your equity, not to a landlord
- Incredible tax benefits
- Gives a sense of community and pride of ownership
Good for:
- Anyone with a good credit score, steady employment, and reasonable savings
