The Top Benefits of Renting
We've all heard that the "American Dream" is to own a home, but too many people fail to seriously understand the true costs associated with home ownership today. In fact, in 2015 alone over a third of U.S. households made the other choice and opted to rent their homes instead of buy. This is the largest rate of rentals since the 1960s. If you're thinking about renting, here are the seven top benefits of choosing homes for rent versus a home for sale.
1. Financial Savings
Financial savings are going to vary based on where you live and, you may or may not save money in the long run by renting. What you should do, however, is sit down and do a thorough analysis of your particular market to see if annual rents will be cheaper than the total cost of owning a home. If you're not sure where to start, the New York Times has a rent vs. buy calculator that you can try.
If you like creature comforts, this is an area where renting blows home ownership out of the water. Many rental communities have some pretty amazing amenities, and you can even search for communities based on your preferences. You might find such things as swimming pools, spas, fitness centers, sports courts, media rooms, game rooms, walking trails, docks, and social activities.
It's tough to pick up and move when you own a home, particularly if the housing market has done something unattractive since you decided to purchase. However, if you rent your home, you can leave if you are on a month-to-month agreement or pay the terms of your lease termination clause. Some communities will even waive fees if you have a job transfer that takes you out of the area.
4. Maintenance-Free Living
If you own a home, the joy of paying for such things as plumbing repairs and roof replacement are also yours. This isn't the case with a rental, where the landlord or community will fix broken items and take care of common area maintenance. If you loathe the sight of a lawnmower, seeking out homes for rent could be the perfect solution.
5. Sense of Community
If you enjoy living in close proximity to other people and want to know your neighbors, rentals often provide these opportunities in spades. Some rental communities have events to bring people together, where you can both make new friends and establish a sense of security where you live.
6. No Large Financial Outlay
While most rental properties require a deposit and even the last month's rent before moving in, this doesn't even come close to what you'd need if you purchased a home. For example, if you made a 5% deposit on a $200,000 home, your move-in costs would start at $10,000 and this is before closing costs.
Some of us simply prefer knowing what we're going to pay each month and for the foreseeable future for housing costs. While rents can change to a degree, owning a home is much more unpredictable with things like rising property taxes, homeowner's insurance, and falling property values. If you're not a fan of uncertainty, you may want to take a look at homes for rent.
The question of whether to rent or buy a home is asked on a daily basis and, for some, it comes down to personal preference. However, there are several benefits to selecting homes for rent over home ownership that just about everyone should consider. Search properties in your area now.