Do You Want To Rent Or Own A House_

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Do You Want To Rent Or Own A House?

Rent or own a house sounds like gambling from a different perspective. Which of the two do you think
is the right option for you? On that note, it is clear you do not know were to place your investments. It
is a mind boggling quest that has troubled all men at their 20's and early 30's. For that reason, there
are certain important tips that you need to be familiar with before making your mind up.
Tips to consider before making up your mind
1. For how long do you expect to prolong you're stay?
There is one main important to consideration for here. How long can you stay put in that locale? This
is because, once you have decided to buy a home, there are many other unseen costs that you will
incur. One is the agency fees, the closing cost and minors such as title insurance. This deprives you
off you cash an estimate of 15% from the actual buying prize. With the current economy, it will take
you up to 5 years before you sell the home and retain your money. Thus if you do not expect staying
in that locale for over five years, its better you rant than buy.
2. How much is are you worth?
Economists have established that the value which you have to do away with from the selling prize is
20% of your buying prize. This is because of mortgage insurance. Fact is, if you ignore the
proceeding, you will suffer sizeable penalty costs. Thus if you do not have a large amount of
resources as security, you have to think about buying a less expensive home or renting which is the
best alternative.
3. Compare the monthly cost that you will incur after buying to that of renting
It is a basic stratagem on this case. You have calculated and you have the summations that you need
on buying and renting a home. Hence you are well versed that, for example you buy the house that is
on market, it will cost you up to $3000 a month on repairs and so on. While on the other scenario, if
you rent a house with similar precedence you will pay a rent of $1500. Therefore, why not rent rather
than buy and save a lot in terms of expenditure?
4. Mind the selling trends in your locale
If you establish that the current trends are staggering, either to the top or below your expectation, it
will be a bad investment when you buy that home. You might be having good reasons of expecting
future price increment. But until then rent a home and save your hard earned cash.
5. Do you love owning a house?
At time it is a good feeling when you have bought your own home. Most of a kind individuals love
gardening, minor home upkeep deeds or would want to buy for the purposes of pride. If that is the
case and you have the resources, Rent or own a house should not be an inquest anymore.
rent or own house