Renting vs. Owning a Home: Which one is best?
Either you rent or buy the place you choose to live matters a lot. Your living decision can impact your lifestyle and work-life balance too.
Some people go with the renting decision as it saves you to spend big bucks on owning a house, on the other hand, some people choose to buy their own home as they do not want to live in another’s home.
We are providing you with some sort of knowledge to help you in deciding if ownership or renting will suit you.
- Owning a property or a place is expensive. Moreover, it is not the small expenses that add up. When you buy an apartment, a house, or a bungalow, you need to pay for the repairs and maintenance. While you are renting a place or property, you are not held responsible for the regular upkeep. The landlord pays for the repairs, maintenance, and improvement. You need to pay the rents. The average annual repair and maintenance cost amounts to 2 to 4% of the value of the property. It’s a thousand times of insurance and other expenses.
- Another benefit of renting a property or house is access to valuable amenities. There are capitals, for instance, the gym pieces of equipment, expensive dryers, and washing machines that we own but use only 5% of the time. Luxuries such as gyms, swimming machines, clubhouses, play areas for kids often come with mid-range and high-rise apartments, and you don’t need to pay additional charges to the landlords. However, if you want to install these amenities as a homeowner, it will cost you around lakhs.
- Renting or leasing a property gives you the ultimate freedom to move when your lease is over. Renters can live anywhere they like while owners have limited choices. Living in cities like New York or Sydney might be out of reach for the owners, but it would be possible for the renters. So if you are not planning to stay in the same place for long, you can opt for renting a house from and make an Online Rent Agreement. In case you get a job, it would make it easy for you to relocate and rent a place.
- Renting a place requires you to pay a fixed amount every month and excludes EMI and other expenses. Once you sign the rent agreement in Noida, you need to pay an amount that remains fixed throughout the tenure. Owning a house rather than renting can be pricey. Other than the initial costs, homeowners need to pay for the home maintenance, mortgage payments, and property taxes, and so on. You might shift to your new house, and find yourself paying for water heaters, installing air conditioners, or a new roof.
- Opposing owning a house, renting a place or property requires no or minimum financial investments and can be done through an Online Rent Agreement. A property rent amounts less than a mortgage. Renting requires signing a contract for 11 months and paying an advance deposit. Renters do need pay for a renter’s insurance policy that’s lower and covers everything owned by him or her. Also, renters can claim an HRA that amounts to 40% to 50% of the basic pay of an employee.