Renting Versus Buying A Home
Finding an article like this one on an online business opportunities’ website may seem a bit strange to most people. But really this website is designed to help anyone look for help in any topic.
Considering you are thinking which way might be best for you some advice from a person who has been in your shoes might be valuable information in helping you make this decision.
I am older than most of you that have found this article so from my past experience you may possibly find a solution to the dilemma you are facing.
Besides, when considering these options you have many factors coming into play in today’s economy. For some even renting is so expensive that can be difficult to even find an affordable decent place in which to live.
First Steps To Do
I think one of the first steps to finding the answer to this decision would be looking at the personal budget. Starting out many couples do not have savings for a down payment for a new house.
Looking at renting and depending on which part of the country you are in this can be an outrageous expenditure for the security deposit and first month’s rent. Then some places want the last month’s rent right up front as well.
Coming up with three months rent will end up being in the thousands of dollar range. Even if the rent is only $500.00 a month for the house or apartment. Good luck finding one that cheap.
Living with the in-laws of either side can run into a battle depending on his side or her side each has its downfalls. This can work for some couples but in the long run, it can wreak havoc on the relationship.
How does a couple figure out then what their budget is going to allow them to do?
There is more to this equation that needs to be figured in. Are both partners working? What type of income is coming in does one have a career, while the other only has a minimum paying job?
In this case, I would like to make a good suggestion for you to follow. Use only the combined income of the lowest earner times two – the extra the other makes goes toward the entertainment for your lives!
Women today have a much better chance of making more than men do, not saying that it happens in all relationships but with many today it does happen.
So many couples get caught up in their initial love for each other they do not take all of this into consideration prior to making commitments. Then later as the relationship matures they end up with too many disagreements that are never good.
The experts in the fields of budgeting tell us that no more than 28% of our gross income should go toward our housing cost.
But when they say gross that means prior to any taxes being taken out, this makes no sense to me you are seeing less income once those taxes are not part of your income.
If you would prefer my advice which I think works much better, take only 28% of your actual net income as a basis for the housing cost. Remember this is only the actual rent or mortgage payment no utilities are included.
From my point of view, the mortgage payment should always include the taxes and homeowner’s insurance for the property so you are not looking at this added expense to the budget.
Now that the big piece of the puzzle is out of the way, let’s continue with some other things to consider.
Maintenance for Housing
Renting an apartment or house is not maintenance free for the renter, you will have small upkeep things that are going to be the responsibility of the renter, YOU.
These are not expensive things like the furnace, air conditioning (if it is central air), roof, etc. But the smaller things like a clogged toilet or drain.
Therefore, renting alleviates major expenses that would be the responsibility of a home-owner should you purchase a house. Some of these replacements or repairs can run into thousands of dollars having backup savings to take care of them.
Depending on if the apartment comes furnished with a stove, refrigerator, washer, dryer, and other essential appliances then you are going to need funds put aside to buy all of these.
Usually, when purchasing a house none of these large appliances are included in the sale. Anytime a landlord is not supplying these large appliances then the maintenance of these are going to be your responsibility.
Lawn care is another thing to consider when it comes to renting or buying. A few places that you rent supply the lawn care included with the rent so having a mower and taking care of this is another consideration.
Starting a savings account immediately for any unexpected expenses for repairs is vital it does not have to be a large amount just keep adding every week. This should grow over time to meet what you might find necessary one day.
As little as five or ten dollars a week can add up over the year to make a nice cushion for that unexpected expense when the time comes. If it is never needed then you are way ahead of the game for a great vacation one day.
Utility Bills Come Next
The cost of utilities today can be a battle for some higher rates for electric and gas are becoming impossible for some to even pay their bills.
Getting on a budget payment plan as soon as you can is highly advisable. Once you are on one of these plans then doing your budget becomes simple compared to trying to keep up with a changing bill month to month.
Telephone service is a thing of the past with today’s technology in smartphones. Finding a plan that is going to work for both of you is key in keeping the cost of the cell phone bill down.
Many places offer better rates for the more lines of service you have on a plan taking advantage of these over individual plans is an excellent idea.
Do not forget those quarterly bills that come in only once every three months. Water, sewage, and garbage depending on where you live there may be others know what these are going to run to add them to the monthly budget.
Car payments along with the insurance on vehicles are another expense that is often overlooked when working on a budget. Life insurance could be another that one might wish to invest in. Which is better whole life or term life?
I am going to answer the question about Life Insurance here although it was more of a rhetorical question. This depends on your age which type of Life Insurance you need talking to a specialist is always the best just get more than one opinion.
Expenses Covered Now What?
In my experience, I have found that one way or the other is not advantageous over the other, to be honest. Either way, you are spending money so you have a roof over your head keeping your possessions safe from outsiders.
Living the American Dream of owning a house is not always what it is cracked up to be. The pitfalls that come with maintenance can be highly expensive. Then again you do build equity as time goes on.
When you look at the costs of renting a house payment can be cheaper in the long run if you get a nice fixed-rate mortgage that includes taxes and home-owners insurance.
Here is the major thing that I have learned over the years of doing both renting and purchasing houses. It does not matter which way you go because it is only a building what matters are you making it a home.
Any apartment, house, cottage, garage, treehouse, or shed can be turned into a home as long as you can afford to keep it and the bills paid. Love and devotion to one another is the most important part of life.
Possessions are replaceable material things finding that one special person that you want to spend your life with is the most important decision of your life. That person is not replaceable ever!
In Conclusion
As I stated, in the beginning, finding this article on a business opportunity website might be highly unusual but I did it for a reason. If you are wanting to purchase a house then why not consider opening your own online business?
Couples can work an online business just the same as a single person can there are no age limits either. In a way, this is something that a joint venture could profit you with nicely in time.
Building an online business will enable you to earn a passive income over time that will take you well into the future. It is not a get-rich-quick scam like those others offer either. Pure and simple it takes time and work along with tons of patience.
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Personally, I cannot see any reason for someone turning down an offer to “kick the tires” for a way to build their own online business. What you are getting absolutely FREE no one else is ever going to give you anyplace else on the internet.
I am so sure that you are going to be amazed by this FREE training that you will decide it is right for you the very first month of Premium Membership comes at a 61% discount of only $19.00.
Do not miss out on this chance to make money online working at home a couple of hours each day to build a successful online business that can do away with that JOB in a couple of years.
Hearing from my readers is especially exciting please leave all comments, suggestions, or questions you might have for me in the space provided below. I answer these usually within 24 hours.
Thank you for taking the time to read my article today. Best wishes for deciding on renting or purchasing a house.
Looking forward to meeting you on the inside of the community,
Susan
