Preview

Renting vs Owning a Home

Good Essays
Open Document
Open Document
786 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Renting vs Owning a Home
Renting an apartment is a better option than buying a house

Myia Hardy

COM/172

November 15, 2010
Michael Mclntyre

Introduction

Renting can put things in someone else’s hands

The question whether to rent an apartment or buy a home

The second reason for renting is why you would pay for expensive repairs

Lastly the most important reason why you should rent an apartment is better

Conclusion

Reference

Renting an apartment is a better option than buying a house

Renting now can make things become easier later. Saving money is what everyone wants to do. Buying a home can not only hurt someone financially but it can put you in a bind that can have you paying a bill for the rest of your life. The economy is on a decline right now so making the decision to buy a home can be a little tricky. Buying a home it is not a one time transaction. Once you have the home you continue to pay bills like your mortgage fees and maintenance. Think about all the money you have to come out of pocket to take care of some of the fees that will come when making a decision to buy a home. Renting can put things in someone else’s hands to where you can save more money from your monthly payments. When renting an apartment you will never have to worry about fixing the plumbing, sink or dishwasher because maintenance is paid by the landlord. Not having these fees leaves you with more money in your bank account expanding your option for your home when you get to that decision. The decision to rent now and buy later can give you enough time to wait on the economy to get stronger and much better than it is now. Buying a home will be a much smoother process. Rent now and buy later is the best way to go, at this time in our economy. The question whether to rent an apartment or buy a home is probably one of the biggest. There are many people

You May Also Find These Documents Helpful

  • Powerful Essays

    While deciding to rent or buy housing can be a difficult decision. This paper will discuss the pros and cons of each and the writers belief based on research, on personal experience, and individual assessment, I believe that buying is a much better option.…

    • 1263 Words
    • 6 Pages
    Powerful Essays
  • Satisfactory Essays

    First off renting a home can be financially cheaper. When you rent you aren’t required to put a large down payment down. Most landlords require one month rent plus a security deposit for any damages you may cause. The landlord is responsible for ensuring the property taxes are paid for yearly, and any other costs that aren’t included in your lease. Unless you are putting a lot of money down most rental payments are less than a house payment may be.…

    • 328 Words
    • 2 Pages
    Satisfactory Essays
  • Best Essays

    Tenant Landlord Law

    • 2865 Words
    • 12 Pages

    With today’s economy and work place uncertainty, if you're laid off from your job or if your health is unstable or failing, your rental property can become your salary or your primary source of income. Being a landlord and owning an investment/rental property can give you income making option that can serve as a buffer or cushion in the event you lose your job or have to stop working because of an illness or your health.…

    • 2865 Words
    • 12 Pages
    Best Essays
  • Better Essays

    First Time Homebuyers

    • 978 Words
    • 4 Pages

    No one really realizes the time and patience it takes to get a first time home buyers loan. The first and most critical step in homeownership is getting the right mindset. This principally involves making all the key financial decisions. The current financial situation of the person will determine the amount to be spent on a home loan. Financial factors like income, credit worthiness, person’s debt and the amount available for a down payment if requested, will be studied carefully to determine how much loan will be offered to the individual. Some banks will even consider debt consolidation to help eliminate the person’s debt, which could potentially help their credit score. Some will even recall the question of renting over buying and here is why, a home is an investment. When you rent, you write your monthly check and that money is gone forever. But when you own your home, you can deduct the cost of your mortgage loan interest from your federal income taxes, and usually from your state taxes. This will save you a lot each year, because the interest you pay will make up most of your monthly payment for most of the years of your mortgage. You can also deduct the property taxes you pay as a homeowner. In addition, the value of your home may go up over the years. Finally, you'll enjoy having something that's all yours - a home where your own personal style will tell the world who you are. (Common Questions from First Time…

    • 978 Words
    • 4 Pages
    Better Essays
  • Good Essays

    Com 156 Week 3 Assignment

    • 602 Words
    • 3 Pages

    In conclusion, it has been shown that renters will pay less for their living arrangement. Renters also do not have some of the worries that a homeowner does. A renter is not responsible for upkeep and maintenance on the place in which they reside. Renters also several amenities included at no extra cost that homeowners would have to purchase separately. The savings of becoming a renter keep adding up and it almost seems a waste of money to become a homeowner. The final decision is always up to each individual, but the savings of renting is a strong persuading factor in the decision of whether to rent or…

    • 602 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Many of the Ten Principles of Economics apply to the purchase of a new home. The first principle, which states that people face trade-offs, is the first principle that applies. The reason this applies to this situation is that in order to buy a home a person may not have the money to go out to eat as often or go on trips as much because they have more of a responsibility to make a mortgage payment each month. If they payment is not made then there is a much larger consequence than if the rent payment is not made (Mankiw, n.d.).…

    • 1785 Words
    • 8 Pages
    Good Essays
  • Powerful Essays

    Renting vs. Homeownership

    • 1432 Words
    • 6 Pages

    Historically, the goal towards homeownership has traditionally been among many American ideals. Today, however, data shows the younger generation entering the workforce is beginning to increasingly prefer apartment style living. At the time when previous generations have entered the ‘house-buying’ years, a change-of- heart is now occurring to favor multi-family residence due to a generational imbalance, historical scare, and change in preference. Ultimately this creates both benefits and disadvantages to those involved in commercial and residential real estate.…

    • 1432 Words
    • 6 Pages
    Powerful Essays
  • Satisfactory Essays

    B. When renting you are paying the landlord a monthly payment rather than investing into a house.…

    • 535 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Renting now can make things become a bit easier later. Saving money is what every American wants to do. Buying a home can not only hurt someone financially but it can put them in a bind that can have them paying a bill for the rest of their life. The economy is on a rollercoaster right now so making the decision to buy a home can be a tad bit tricky. Buying a home is not a one time transaction because once you have the home you continue to pay bills such as mortgage fees and cosmetics. Thinking about the money that you may have to come out of is a good enough reason on why you would want to save up money to take care of some of the fees that will occur when making the decision to buy a home.…

    • 273 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Renting vs. Owning

    • 338 Words
    • 2 Pages

    There are a few benefits to owning a house such as tax breaks, but the financial burden is much heavier than living in an apartment. From the mortgage to homeowner association…

    • 338 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    1. Low monthly payment: Monthly lease payments are 30-60% lower than purchase loan payments for the same item.…

    • 1327 Words
    • 6 Pages
    Good Essays
  • Better Essays

    The decision to buy a home is a very big and important step and should be entered into very carefully. Home buying is the most important decision that a couple or person will ever make in their lives. With a new baby coming, the studio apartment is going to be too small for a family of 3 to live in and also the apartment being too far from local services and schools, all of these factors that have come into play have played an important part for the decision in buying a home. With the bad situation of the housing market, at this time will also play an important role in deciding to buy a house. Many people will decide on looking to buy a house without looking at the pros and cons. Not doing the work to really see if it will be beneficial to buying a home could sometimes result in making the wrong decision financially. There are a lot of important things to take into consideration when deciding to buy a house or not. Some of the questions that would need to be answered are what are the tradeoffs, what would you have to give up and what will you gain in buying a house, what government programs are there to assist in homeownership, the marginal costs and benefits of purchasing a home, and is the economy strong enough to support buying a home. This type of decision cannot be made in haste because everyone's situation is not alike and each line of questioning applies to everyone. Being careful and taking the time to look at the pros and cons and the ten principles of economics will help with making the correct decision in purchasing a home for my growing family.…

    • 2042 Words
    • 9 Pages
    Better Essays
  • Good Essays

    Renting vs Buying

    • 555 Words
    • 3 Pages

    A. Buying a house has its benefits too but it does not come without a price.…

    • 555 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Many homeowners who are subject to a quick move think that renting their home is a quick and easy solution. Renting does offer the possibility of instant income to pay the mortgage, but also brings the responsibilities and risk of being a landlord. This is especially difficult if you are moving out-of-state or a long distance. After looking into all that renting their home entails, most choose to sell to eliminate…

    • 334 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Renting an apartment can be beneficial because it is not as expensive as a mortgage payment. When renting, he or she can find a similar size and quality apartment as a home, keeping your monthly cost lower. When renting an apartment, he or she does not have the stress of saving for a considerable down payment, as you do when you purchase a home. It allows you to save money to pay off some of your bills. If you like to move a lot, it…

    • 1060 Words
    • 5 Pages
    Better Essays