5 Reasons Why Renting Is Better Than Buying A House

Many property investors out there will tell you about owning a house for the most profitable investment. Whether you agree or not with this statement will be up to you.

This has definitely put pressure on most people to start owning a property and not become lifetime renters. This has caused many individuals to have a negative perception of renters who refused to own a house for various reasons.

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In reality, there are still many benefits when it comes to just renting and here we would like to share with you 5 reasons why renting is much better than buying a house.

1. Renters Do Not Bear The Cost Of Repairs

The agreement between the owner and the renter commonly places the burden of repair costs and maintenance on the owner of the house. This includes damage to the pipes, leaking ceilings, and many more which the renter does not have to pay a single cent to repair them.

The landlord has to understand their responsibility to provide the best premise possible whereas it is up to the renters to keep them in good condition.

Any appliances that are affected by shelf life such as lights, switches, fans, ac, and as such should be discussed between the landlord and renters to see who should be accountable in case of any damages.

One thing for sure is that if there are any apparent damages to the house, the one who will bear the most will be the owner.

2. Renters Do Not Have To Pay Property Tax

Depending on where you live, homeowners will be obligated to pay their property tax based on the value of their homes. This of course will vary depending on the state and the location of your premise.

But it is mostly categorized according to urban and suburban that have been gazetted.

The amount that needs to be paid will also depend on the size area of the property, land, and compartment.

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Every state or region will have its own formula for calculating property tax. If you own a house in a very developed area then have your wallet prepared to pay more.

3. Renters Do Not Need To Pay Maintenance Fees

This might not apply to everyone but it is safe to say that this is how it goes for most renters. With the cost of everything rising, maintenance fees have become a necessity so that the management can use them for certain repairs.

These fees are usually paid on a monthly basis and if you live in an apartment with the strata status, then you will most definitely have to pay the cost of being the owner of the house. You as the renters will not have to worry about paying this fee every month.

But be sure to settle an agreement with your landlord as to who should pay this monthly fee as you don't want to get told off by the management.

4. You Are Free To Move Out

One of the biggest advantages of renting a house will be that you have the freedom to move out whenever you want. You are not stuck to stay in one place alone and are forced to travel far distance to your work.

You can simply move out of the house when necessary to your desired location which will minimize your travel time or perhaps even get away from those annoying neighbors.

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If your boss decided to transfer you to a distant location, then it should not be a problem for you to find another house that will ease up your traveling to work.

5. You Are Not Tied To Bank Loans

This is another crucial aspect that you should think about thoroughly before purchasing any properties. Buying a house is a huge commitment with you paying the mortgage of the house for many years to come.

Generally speaking, the bank will set a requirement for homeowners to ensure that they don't go into bankruptcy if they failed to pay on time. Being a renter means that you don't have to give this a thought to yourself as it is up to the landlord to pay the loans.

If you are a renter, never feel down about not owning a house. There are many things that you have to think about when becoming a homeowner and maybe renting a house suits you best perfectly.

With that being said, there are both pros and cons when it comes to being a renter or buying your own house. Rest assured always do your due diligence before making any big decision in your life.

Source:

• Iluminasi

Also read: How To Start Investing as a University Graduate