英国斯特灵华人社区
Stirling Chinese
【英文阅读】租房好还是买房好
tinyhut(2016/1/8 14:05:07) 点击:93257 回复:0 IP:116.* * *
tinyhut(2016/1/8 14:05:07) 点击:93257 回复:0 IP:116.* * *
There is a lot of talk about which is better, renting or buying. Each has its disadvantages and advantages and neither solution is ideal for all situations. In general, renting is cheaper in the short-term, and buying is cheaper in the long-term. Though a buyer may pay twice as much for a home in the short-term, when the house is paid off, a buyer will pay nothing more aside from maintenance and taxes. The renter has to continue paying for the rest of their lives. Here are the reasons a person may buy, rent, or refrain from one or the other:
Benefits of Renting
Greater Flexibility
Renting allows greater flexibility than owning a home. If the right apartment is chosen, more money can be deposited in a savings account during the early years. Renting can help a person save to invest into a business or even to save for a down payment on a home. Renting also usually appeals to the transient community because the commitment is typically shorter than the commitment of buying a home.
Maintenance-Free
Maintenance is usually covered through the rental company. There is no need to invest into maintenance for the home because it is included. This saves the renter money and time. A person who is not ready for the responsibility of home ownership will appreciate a rental home.
No Agents’ Fees or Stamp Duty Fees
Agents’ fees and stamp duty fees can be considerable if the home has to be sold at any point of home ownership. These fees do not exist with renting. Renters typically pay no fees if the home is left in the same condition that it was found when first occupied.
Not Tied to a Particular Location
If a particular location is not preferred, the rental agreement is typically only a year. Rental contracts do not have to be renewed if the renter doesn’t like the location or if the renter doesn’t like the property itself. Renting is preferable to people who want to try out a community before buying in it.
Benefits of Buying
Own an Appreciable Asset
Appreciable assets can be used for leverage or inheritance later in the future. Ownership is preferable because it is easier to obtain loans and build credit when buying a home than it is by renting.
Discounted Variable Mortgage Rates
In the USA, Variable mortgage rates are now 1.25 percent lower than they were in 2011. The fixed mortgage rates have been discounted by as much as 2.1 percent.
Disadvantages of Renting
Rent is Becoming More Expensive Than Buying
In some regions, such as 388 suburbs, renting can cost more than buying. Rental rates for houses have risen by up to 4.2 percent over the past year. Rental rates for apartments are 2.9 percent higher for units in capital cities. The rental market has become quite competitive, and the costs are more expensive. When the rental costs exceed the mortgage costs, there are few advantages to renting.
No Appreciable Asset to Leverage
At the end of the rental agreement, the apartment will be returned to its rightful owner. Renting does not provide an appreciable asset that can be used to borrow against nor does it typically serve as a tax deduction. Furthermore, when the house is paid off in the future, buyers can rest knowing that they own an asset that can offer financial flexibility.
Disadvantages of Buying
Long-Term Commitment
Home buying requires a long-term commitment. Some loans require up to 30 years. A person entering into a long-term contract must ensure that they like the home and the area. Selling a home before the mortgage is paid can result in losses if the economy is not good. Buyers must ensure they are prepared to incur losses before entering into a long-term contract.
Maintenance
Whether the home is new or old, the buyer is responsible for maintenance. These costs can add up over the ownership of the home. Every home owner must have money in reserve to cover the costs related to maintenance on a home, which could vary from year to year. If repairs to the plumbing or roof are needed, the costs could be considerable.
Rent or Buy: The Choice is Up Each Individual
Whether people rent or buy, the choice is entirely up to them. A home should only be purchased if it is within the budget. Saving for a down payment on a mortgage can significantly impede a person’s lifestyle. Save for a home only when life can be sustained and enjoyed during savings.
Benefits of Renting
Greater Flexibility
Renting allows greater flexibility than owning a home. If the right apartment is chosen, more money can be deposited in a savings account during the early years. Renting can help a person save to invest into a business or even to save for a down payment on a home. Renting also usually appeals to the transient community because the commitment is typically shorter than the commitment of buying a home.
Maintenance-Free
Maintenance is usually covered through the rental company. There is no need to invest into maintenance for the home because it is included. This saves the renter money and time. A person who is not ready for the responsibility of home ownership will appreciate a rental home.
No Agents’ Fees or Stamp Duty Fees
Agents’ fees and stamp duty fees can be considerable if the home has to be sold at any point of home ownership. These fees do not exist with renting. Renters typically pay no fees if the home is left in the same condition that it was found when first occupied.
Not Tied to a Particular Location
If a particular location is not preferred, the rental agreement is typically only a year. Rental contracts do not have to be renewed if the renter doesn’t like the location or if the renter doesn’t like the property itself. Renting is preferable to people who want to try out a community before buying in it.
Benefits of Buying
Own an Appreciable Asset
Appreciable assets can be used for leverage or inheritance later in the future. Ownership is preferable because it is easier to obtain loans and build credit when buying a home than it is by renting.
Discounted Variable Mortgage Rates
In the USA, Variable mortgage rates are now 1.25 percent lower than they were in 2011. The fixed mortgage rates have been discounted by as much as 2.1 percent.
Disadvantages of Renting
Rent is Becoming More Expensive Than Buying
In some regions, such as 388 suburbs, renting can cost more than buying. Rental rates for houses have risen by up to 4.2 percent over the past year. Rental rates for apartments are 2.9 percent higher for units in capital cities. The rental market has become quite competitive, and the costs are more expensive. When the rental costs exceed the mortgage costs, there are few advantages to renting.
No Appreciable Asset to Leverage
At the end of the rental agreement, the apartment will be returned to its rightful owner. Renting does not provide an appreciable asset that can be used to borrow against nor does it typically serve as a tax deduction. Furthermore, when the house is paid off in the future, buyers can rest knowing that they own an asset that can offer financial flexibility.
Disadvantages of Buying
Long-Term Commitment
Home buying requires a long-term commitment. Some loans require up to 30 years. A person entering into a long-term contract must ensure that they like the home and the area. Selling a home before the mortgage is paid can result in losses if the economy is not good. Buyers must ensure they are prepared to incur losses before entering into a long-term contract.
Maintenance
Whether the home is new or old, the buyer is responsible for maintenance. These costs can add up over the ownership of the home. Every home owner must have money in reserve to cover the costs related to maintenance on a home, which could vary from year to year. If repairs to the plumbing or roof are needed, the costs could be considerable.
Rent or Buy: The Choice is Up Each Individual
Whether people rent or buy, the choice is entirely up to them. A home should only be purchased if it is within the budget. Saving for a down payment on a mortgage can significantly impede a person’s lifestyle. Save for a home only when life can be sustained and enjoyed during savings.
