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From The Blog

Should you rent or buy your Home

Should you rent or buy your Home

<p>&nbsp;</p> <p><strong>Considering whether to buy or rent the place you call home is a major life decision, with a number of considerations that need to be made when doing so.</strong></p> <p>&nbsp;</p> <p>Whilst both options have their merits, there are of course certain disadvantages, and it&rsquo;s important to be well informed when deciding. A local real estate agent should have a list of <a title="Properties for Sale" href="http://just.property/residential-property/for-sale/">properties for sale</a>&nbsp;and <a title="Properties for Rent" href="http://just.property/residential-property/to-let/">properties for rent</a>, and ultimately you have to decide what to do in your unique situation.<br />Below we&rsquo;ve compiled a list of the major pros and cons for both renting and buying, to provide you with a better platform to see which best suits you.</p> <p>&nbsp;</p> <p>&nbsp;</p> <p><strong>Renting:</strong></p> <p><br /><strong><span style="text-decoration: underline;">Pros:</span></strong></p> <ul> <li>Renting is more flexible and requires no long-term commitment.</li> <li>There is the possibility of living in a more affluent area than which you could afford to buy.</li> <li>The only insurance required will be to cover the contents of the home.</li> <li>As the tenant you are not responsible for upgrades or maintenance on the property.</li> </ul> <p><br /><span style="text-decoration: underline;"><strong>Cons:</strong></span></p> <ul> <li>Being bound by the rules of the lease agreement, means you have no freedom to renovate the property, having to first consult the homeowner.</li> <li>Having to deal with a third party rental agent as an intermediary between yourself and the homeowner can lead to miscommunication and frustration.</li> <li>Renting offers no return on investment for the tenant; you are basically paying off the homeowner&rsquo;s home loan.</li> <li>You have no control over the rental fluctuations which are influenced by inflation.</li> <li>There will always be uncertainty, with no guarantee that a lease will be renewed when it expires.</li> </ul> <p><br /><strong>Buying:</strong></p> <p><br /><span style="text-decoration: underline;"><strong>Pros:</strong></span></p> <ul> <li>You have the freedom to renovate or change your property as you wish.</li> <li>Owning a property means building equity, as the property value will increase, giving you a return on investment.</li> <li>It offers security and peace of mind in your place of residence.</li> <li>There is the option of buying to rent, allowing you to generate income from your property.</li> <li>Possible tax reductions related to owning a home.</li> </ul> <p><br /><span style="text-decoration: underline;"><strong>Cons:</strong></span></p> <ul> <li>A home means you are stuck in a singular place, allowing for less flexibility.</li> <li>There is a risk of prices fluctuating and not being able to profit off of the resale.</li> <li>There are additional costs involved in owning a home, such as rates, taxes and insurance.</li> </ul> <p>At the end of the day the decision whether to rent or buy depends on your needs and capabilities. However, when all the pros and cons are taken into consideration, it&rsquo;s quite clear that owning a home allows for a far more stable investment, as well as the peace of mind and pride that comes with owning your own home.</p> <p>Article from Just Property Group&nbsp;</p> <p>1st Feb 2016</p> <p>&nbsp;</p>