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When Is It Wise to Rent Instead of Buying and What If You Have to Rent and Can t Build Equity

The question of whether to buy or rentas a regular monthly mortgage payment and
housing is one people have struggled with forthen rent for less than that amount. Usually
ages. Salaries go up but so does the cost ofmortgage payments are more than rent for a
housing. Is it ever a wise choice not to buysimilar residence, so it is sometimes
when that's an option? If it's not an option,possible to rent for less and save the
how  can  that  be  changed?difference.
The initial stopper in purchasing a home forA case recently came to my attention where
most of us is funds and credit. If you can'tthe person wanted to rent because she was
swing a down payment or qualify for a loanunwilling to take on homeowner
then renting isn't so much an option as aresponsibility. She looked very carefully at
necessity. Another stopper is the need forwhat her monthly costs would be if she bought
the support that renting is supposed toincluding maintenance, upkeep, and taxes.
offer. If it breaks, leaks, or falls down itNext she searched for and eventually found a
is handy, yet not always effective, to begood rental for significantly less than that
able to call the landlord. Rental owners comeamount and moved in. She then put her down
in all sizes and types and some don't respondpayment into an interest-bearing account and
according to rental agreements. Picking youradded the difference every month for thirty
landlord may be as important as picking theyears. The amount she saved by being so
rental  itself.highly disciplined, though substantial,
wasn't what she would have realized in profit
Disabled or retired people who are not ablefrom the sale of a well maintained home but
to do regular maintenance and upkeep may lookshe factored in the stress that she had
at renting as a wise choice. Apartments comeaverted and felt her plan had been highly
with exterior painting and yard worksuccessful.
included. Also, a community may work better
for  these  two groups than single occupancy.There isn't any "right" way. Don't decide to
buy or rent because that's what others are
When forced to rent due to a lack of the cashdoing or that's what you're familiar with.
needed for the down payment, it's easy toLook more closely at yourself and your needs
rent more than is needed and fail to save.and make a personalized choice that will
The better plan is to see what you could makesupport you in the future.



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