For years, the American dream has revolved around buying a house with a white picket fence. But as the lives of young Americans have started to change, so too have their ideologies. Nowadays, renting a home is just as common as buying a house. After all, the benefits of renting are countless and many people are more interested in the freedom associated with this way of living.
Of course, buying a house is still a great option for some. If you want to put down roots and grow equity than there’s no better option than buying a home. But this lifestyle has simply become outdated for many, especially as technology and societal expectations have advanced. We’re more connected than ever before and there are new opportunities around every corner. For some, buying is simply not an option, especially in the ever-fluctuating world of real estate. In some cases, people might just want to invest in real estate through apps and a tax planning service instead of actually investing in a mortgage.
If you’re considering renting instead of buying, think about the benefits of renting:
When you buy a home, you’re locked to a plot of land for at least five years unless you want to struggle with equity and mortgage costs. Choosing to rent, on the other hand, offers you the flexibility you need to move if necessary. It can also give you the opportunity to live in the city where buying a house might be out of the realm of possibility with property taxes, etc. As a whole, renting your home opens the door for a slew of possibilities that were previously closed off to you.
The freedom to move where you desire cannot be understated. When it comes to the benefits of renting, this is one of the top reasons to choose this option. Here are some of the top people who can benefit from flexible renting.
- This is great for young professionals who are interested in moving to a new place but are hesitant to put down roots as they figure out what place works best for them.
- People who move a lot for work can benefit from year-long leases or short term apartments. Most renters agree to year-long leases but depending on the type of rental, some people will only stay for a few months at a time.
- It’s a necessity for students who need a place away from home.
- It’s great for people who have poor credit that might not be approved for a home mortgage.
- It’s great for senior housing. Because maintenance and repairs are performed by the landlord, elderly folks don’t need to break their back making these necessary fixes.
- It’s perfect for new families that don’t know how much space they need when they’re first starting out.
Our ever-changing lifestyles demand more flexibility than ever before. While buying a home gives you equity, renting allows you to change your life plans at the drop of a hat. If you’re among any of the demographics listed above, you can likely enjoy the benefits of renting over buying.
You can also break the lease if you so desire. This might cost you your security deposit, but it still gives you the freedom in the event that there’s a death in the family or another type of emergency that demands a sudden move. In most cases, your landlord will even understand this sudden change and work with you to ensure the time you’ve spent at your current home isn’t wasted. This won’t always be the case, but breaking a lease still gives you the flexibility needed in the event of an emergency.
Repairs are on the landlord’s shoulders
Not everyone knows how to snake a drain or install new flooring. When it comes to maintaining a home, renting is the easiest option you can take.
This is because maintaining your property is actually up to the landlord. While you might have to pay for any damages you cause, regular maintenance and repairs fall to the responsibility of the homeowner; in this case, it’s the landlord or property manager. After all, it’s unlikely that you’re the reason for a leak in the roof. When you need roof installation services to repair that leak or replace those shingles, the renter won’t have to pay a dime. These costly repairs make renting even cheaper in some cases.
This is especially beneficial if you live in an area that’s prone to natural disasters. Florida, for example, is known for its long hurricane season in the late summer and early fall of each year. Instead of buying a home that might take on water damage, renting an apartment can help protect your investment: namely, the investment that you don’t have. Instead, this responsibility is placed on the shoulders of your landlord. They will give you prompt home water damage cleanup through the help of experienced professionals usually at no cost to you. They might not be able to take care of the items of yours that got damaged in the hurricane, but that’s why renters’ insurance exists in the first place. Protect yourself from expensive repairs and accidents by thinking of the benefits of renting instead of buying.
Of course, it’s important to keep in mind that basic home care is needed. It is expected that the renter takes care of the home. That’s why most landlords demand first and last month’s rent along with a security deposit. If your cat tears up the carpeting or you punch holes through the wall, you won’t get this money back. Engaging in some aspect of preventive maintenance is expected of the renter to ensure that the home doesn’t fall into complete disarray. Your landlord might still be responsible for gutter repair services, but it’s up to you to let them know that a gutter issue is happening in the first place. If any damage is left behind after you move out, you might have to pay this back to the property manager.
However, this is easy to do and you would have to pay the repairs out of pocket if you owned the place. All in all, renting can be a more affordable experience so long as you’re taking care of the home you’re renting. The benefits of renting work best when the renter takes their role seriously as a consumer.
Here are some top questions that you should ask yourself if you’re wondering about the benefits of renting: do I like performing upkeep? Am I good with my hands? Would upkeep be stressful?
Is it really cheaper?
We’ve already mentioned that renting is cheaper when it comes to paying for repairs. That money you save on plumbing fixes can be better used to pay off your student loans or piled into your savings account for later.
While there’s no doubt that renting can be expensive, especially if you opt for a large home, you still won’t need to worry about the causes of pipe erosion. Additionally, the money you’ll save from not paying real estate taxes can make a huge difference. Each month, the government charges homeowners a tax for owning their property. While a portion of this money does come back through your tax refund, certain areas can charge more in real estate taxes than you would expect. In some cases, property taxes can exceed a few thousand dollars each year. Renting will save you money, especially if you’re living in a nicer area with higher taxes.
Best of all? You won’t have to put a down payment on your place. Sure, you’ll have to pay the first and last months’ rent along with a security deposit, but this is pennies compared to the hefty down payment that you would have to make on a house. In most cases, banks demand that you pay around 20% of the home’s price. For a basic $200,000 home, this means you’ll have to pay $40,000 out of pocket. This is simply out of reach for many people.
On top of that, renting a home means that you’ll have stable prices during market fluctuations. Even though you might have bought that house for $200,000 a few years ago, there’s no guarantee that the house will increase, or even retain, its value. The housing market changes can be hard to predict but rates for renting are usually more stable. During times like COVID-19, this kind of stability can, quite literally, be a lifesaver.
The benefits of renting include predictable payments and fewer market fluctuations. It makes sense as to why so many people invest in real estate — and rental houses — in the first place.
You can enjoy modern amenities
Do you want a new kitchen without paying for it? Finding a rental with new features makes a property management company more desirable. Landlords and similar property owners frequently update their apartments for the benefit of their renters. Not only does it mean that they can charge a little more for rent but it also makes their apartments and houses more competitive in the ever-changing real estate market. Anything that gives a property manager an edge over the competition is needed. Fortunately, that means that you, as the renter, can seriously benefit from this desire to be the best.
Here are some of the best amenities that a landlord will offer to keep ahead of the pack:
- New kitchens and modern appliances, like air conditioners, stoves, and more.
- Proximity to cool features around town, like pubs and museums. If your property manager has a deal with local businesses, they can even save you money with coupons and gym memberships.
- Recreational features, including swimming pools, home gyms, and even dog parks (in some cases). It can even help you save on insurance when you’re looking for friendly medical care since you’re taking better care of yourself.
- Bundled bills with free Wi-Fi or other similar features.
- Energy-efficient features, like solar panels and modern Energy Star certified goods.
A property manager won’t always offer the benefits of renting listed above, but there are more options for these novelties than ever before. Dig around and you might just find the apartment or house of your dreams.
The benefits of renting
At the end of the day, the benefits of renting can help countless people — far more than buying a house can offer. Many people think that paying rent is a waste of money since you’ll never see it again; however, you already pay money on your cell phone bill, regular home bills, and more. Renting a home is paying for the shelter you need for you and your family. When you a buy a home, you’ll be paying taxes, interest fees, and more. In the same vein, these are payments that you will never see again, too.
Renting or buying a home is up to you. When you’re ready to hire commercial movers to transition into your new home, rely on these tips to figure out which option is right for you.