Renting vs. Buying
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Renting vs. Buying
Are you currently renting the place you are living in? Thinking about buying? Or do you currently own your home but your bills are much higher than you expected? There are many reasons why someone would want to rent or buy their home. If you aren’t sure which makes the most sense for you, we have made an easy pros and cons list to help! Check out our article on renting vs. buying!
Ready to buy now?
Check out our blog post on how to effectively look for a home, and then give us a call!
Renting
PROS
• You can find all-inclusive rentals
This means you never have to pay for utilities so you can save lots of money
• No major building expenses
No need to worry about redoing the roof or replacing costly appliances
• Yardwork and other maintenance may be done for you
Your landlord may take care of all of the annoying work you don’t want to do
• Saving money is easier
When your only expense is your rent, saving money elsewhere may be easier
• If you are someone who moves a lot, renting may be for you
If you need to leave, you don’t need to worry about trying to sell your house
• Amenities
Some rental units also come with great amenities such as swimming pools
CONS
• You aren’t building any equity
When you are renting, you are not gaining any sort of financial asset
• Hard to make the space your own
Doing major renovations is out of the question when renting
• Your landlord can raise your rent at any time
And every year your rent is going to go up
• Or they could evict you
If your landlord wants to move into the house, you will be forced to move
• No pets
Many landlords will not allow pets, so you will have to get rid of Fido
• Expensive
The rental costs in Ottawa may be even more expensive than a mortgage
Buying
PROS
• It’s YOUR house and you can do what you want with it
No need to ask permission to paint your walls or renovate your kitchen
• You are building equity
Your home should appreciate over time and make money on it when you sell
• Stability
When you own your home, your landlord can never kick you out!
• Fixed mortgage rates
Your mortgage rates are not going to go up unexpectedly
• Privacy
No need to worry about your landlord ever dropping by unannounced
• No rules
Go wild! Just don’t upset your neighbours too much
CONS
• Property taxes
These can be quite expensive and they will go up year after year
• Expensive repairs
Large expenses such as a new furnace or deck can be costly
• Utility costs
You will need to pay for heat, hydro, water, internet and cable yourself
• Upkeep
Things will break down over time and you will need to replace or upgrade
• Selling could take time
If the market is in a buyers market, selling your home could take some time
• Down payment is expensive
Your initial down payment will be quite a large sum of money
Renting vs. buying, which is best for you? In conclusion, it really depends on your current situation which is better for you. If you are the type of person who needs to relocate often for work, then renting might be right for you. If you are just starting a family and work at a stable job, buying might be right for you. You may really want to purchase a home, but the funds just won’t allow for it right now. Either way, know that The Susan & Moe Team are here for you!
We are available to safely show you homes for sale and for rent, just give us a call and we will set it up!
