Many people are torn between the decision to continue renting or buy a home. While buying does present several benefits since it is an investment, for many people, renting is actually a better option and presents just as many potential benefits. Here are some of the best benefits to renting an apartment rather than taking the plunge and purchasing a home of your own.
Less commitment, more flexibility. Buying a home is a huge commitment. You are committing to staying in a specific location for at least a few years. If you aren’t ready to settle down, want to explore, or if work moves you around frequently, buying is likely not a good option for you. Renting provides you with flexibility to choose 6 month or year long leases. Some apartment complexes will even allow you to rent from month to month if you are uncertain about your living situation or where exactly you will end up.
Fewer unexpected costs for maintenance or repairs. As a renter, your landlord takes care of all maintenance, repairs and issues. You pay for a lot of this upfront when you pay rent each month. So, if your toilet is clogged, the roof is damaged, or a something breaks, you simply tell your landlord and they call the necessary people and pay them to correct the issue. As a homeowner, however, you become your own landlord, essentially! You would have to pay out of pocket for any repairs and call the necessary handy person to come to your home and fix the issue. This means more work for you and less predictability regarding your month to month home maintenance expenses.
When you rent you don’t have a lawn to mow or care for nor do you need to be concerned about any other outdoor issues. When you live in an apartment complex, the development is responsible for lawn care such as mowing. In addition, they do any landscaping, watering and outdoor maintenance that is necessary including plowing driveways and parking lots, laying down ice melt and more. When you own a home you have to shovel you won snow, water your plants, and mow the lawn, or hire professionals yourself to care for these things on your property.
You don’t need to put down a large down payment. Usually your security deposit is a few hundred, maybe a few thousand depending on the cost of the apartment, but you will usually get this back when you leave! This is a much smaller upfront investment, meaning you don’t need to have a lot of cash or capital saved up first. When you buy a home, you usually have to put down a down payment up around 20% of the total purchase price before you can buy. Many people are not able to do this, or they aren’t ready to spend that much money.
You don’t have to pay homeowners insurance as a renter. Renters are only responsible for the agreed upon monthly rent payment. The most you would pay for insurance would be on renter’s insurance to protect the belongings inside your home. As a homeowner, you have to make sure your entire home, outside, inside and belongings are covered through insurance which can get pricey.
While owning a home is a great option for some people, there are also many benefits to renting for those who are not ready for such a huge commitment that comes with buying a home of your own. Renting gives you flexibility, helps you manage your monthly expenses, helps you to avoid maintenance of the home or landscaping, doesn’t require a large upfront down payment, and mean you are not responsible for homeowner’s insurance. The benefits of renting from LRG Rentals or your local apartment complex can be one of your reasons to rent because of the benefits you will enjoy.