The choice between renting and buying a home is one of the biggest economic decisions that numerous adults make. A lifelong objective that numerous citizens strive to attain is homeownership.
While numerous people own homes these days, this wasn’t the case initially. Historically, you had either to build or rent a home.
Currently, a growing number of people rent apartments and the range and quality of rented accommodation has improved considerably. While both have their financial benefits, renting appears to have an edge.
If you’re wondering whether there are benefits to renting in Dallas, check this out.
No Repair Bills or Maintenance Costs
A major benefit of renting over homeownership is the lack of repair bills or maintenance costs. When renting a property, your landlord takes care of all repair and maintenance costs.
For instance, if an appliance stops functioning or your roof starts leaking, you won’t have any financial obligation to fix these things. Conversely, homeowners are responsible for their own renovation, maintenance, and repair costs. These costs can prove costly depending on the repair.
Flexibility and Mobility
Renting offers flexibility in case you wish to relocate or are unsure about the kind of long-term housing you desire.
With today’s economy, numerous people are struggling to make ends meet. Renting allows you to downgrade to a reasonably priced living space at the end of your lease.
As a homeowner, you’ll have difficulty breaking away from a costly house owing to the fees involved in selling and buying a home. Furthermore, canceling a lease is faster and easier than selling a home. However, lease obligations for rentals vary across states.
Low Predictable and Initial Monthly Costs
As a renter, you typically pay 1-3 month’s rent as a security deposit for cleaning or damage. This is considerably lower than the initial cost of purchasing a home.
Upon signing the lease, the rent will remain unchanged throughout the duration of the lease. On the other hand, prospective homeowners have to save over 5% for their down payment; a bigger down payment results in decreased mortgage payments.
Renting helps you avoid the elevated initial down payment expenses.
Lower Insurance Expenses
While homeowners require a homeowner’s insurance cover, it would be prudent for renters to purchase insurance as well. Fortunately, renter’s insurance is considerably cheaper and covers a lot.
On average, renter’s insurance will merely cost you $12 monthly according to the Independent Insurance Agents and Brokers of America (IIABA). Meanwhile, the homeowner’s policy will range between $25 and $80 monthly.
Another economic benefit to being a renter over a homeowner is accessing amenities that would otherwise be costly.
Luxuries such as a fitness center or in-ground pool are standard facilities at numerous mid to upscale apartment complexes at no extra cost to tenants. A homeowner who wants similar amenities should expect to spend a considerable amount of money on maintenance and installation costs.
While homeownership may be beneficial over a lengthy period, renting is the better choice for numerous people in Dallas. The decision whether to purchase or rent a home is personal. Ensure you evaluate the necessary details and make an appropriate decision.
For more information on the benefits of renting over homeownership, contact us at Apartment Agents or leave a comment if you know of other associated advantages.
Image: Steve Brown