Benefits of Buying vs Renting

Buy a home or rent? It’s a question we all face when we are considering buying a home. There are some things to take into consideration, like where you are at financially and whether you are ready to settle down. There is no specific age that dictates when you have to buy a home either. If you are in a place in life that requires you to move around a lot, renting may be the better option. There are benefits to both, depending on your circumstances, and our local mortgage lender team based in Katy, TX is here to show you the benefits of buying over renting.

You Have More Freedom

One of the biggest benefits that homebuyers like is the freedom to make your home your own with your style. When you rent, you usually can’t make changes like painting the walls, without first getting permission. When you own your own home, you can let your inner creativity flow. From landscaping to bathroom upgrades, you can pretty much do what you want to create a home that mirrors your style. You can finally start that herb and vegetable garden in your yard, or paint your bedroom walls your favorite shade of purple. And, when you make home improvements, you are adding to the value of the home.

Bring Stability to Your Budget

For many renters, they are faced with a yearly rise in rent rates. There is also the chance that, if you share an apartment or house with other renters, one can choose to move out, leaving you with having to cover the extra cost of the rent. When you buy a home, especially if your mortgage has a fixed rate, you aren’t having to worry about unexpected price rises, making it easier to plan your budget. There is a yearly property tax that homeowners have to pay, which can fluctuate a bit, but that is usually a tax-deductible fee.

Appreciation of the Home Value

Where do those monthly rental payments go each month? It can often feel like you’re throwing money away and have nothing to show for it. If you want an investment that builds value, buying a home is your answer. Over time, the appreciation value of your home rises. You can see your monthly repayments going towards something more substantial, helping you to invest in your future. Even better, once you have paid your mortgage off, you own it free and clear.

Stability 

Something else that homeowners love is the sense of stability that owning a home can bring. A lot of people who rent feel it can be an unstable situation, where a landlord can sell the property or raise the rent, forcing you to have to look for somewhere else to live. Owning a home gives a better sense of security, making it a more sensible option to pay a mortgage over time.

Building Up Your Savings 

From the time you start making your first repayment, you are adding to the equity in your home. Building equity is similar to building your savings because you can tap into that equity if you need funds to make improvements or repairs on the home, do a debt consolidation, or put money away for college for your kids. Buying a home means you’re investing in your own property rather than investing in someone else’s.

There are a lot of reasons that buying a home makes more sense than renting. If you feel that you are ready to go from a renter to a homeowner, give our Katy mortgage team a call today and we’ll get you started.