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Jesse & Powell

Jesse &

Powell

Jesse & Powell

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  • Must i Rent or Buy a House

    Must i Rent or Buy a House

    I have pondered this many times previously. I didn't buy my first house until I has 44 yrs old. Up to then I rented. No problem with either one. Depends upon your specific situation. Many folks rent all their life (many military families for example). Some hold back until later (like Used to do).

    In either case, choosing what's right for you as well as your goals is the greatest fit.

    Make a list of the items you currently have:

    1- Have you got a steady income (requirement for both)

    2- Have you got a deposit (for buying) - (a minimum of 3.5% of purchase price for FHA loans) and the loan payment plus taxes and insurance.

    3- Have you got 1st months rent and can you pay the monthly rent (for renting)

    4- Have you got the right area picked out (renting or buying) (schools, job commute, safety)

    Purchasing a house depends upon a lot more factors than just a payment in advance:

    PROS:

    1- It's YOURS! And you can remodel and do what you want (based on city codes and HOA)

    2- Nobody can tell you to leave as long as you are current in your mortgage and taxes

    3- Sense of pride and status of ownership

    buying a house

    CONS:

    1- Are you able to afford your own upkeep/maintenance?

    2- Let's say something breaks - do you have the funds to repair or replace it?

    3- How long do you plan to stay in the home to earn enough equity to sell? (resale value/realtor fees to cover what's owed on loan)

    Renting a house is an option for many:

    PROS:

    1- Less upfront money up front.

    2- Different length of leases (3-6-9-12 months).

    3- More freedom to move around.

    CONS:

    new home

    1- It's NOT yours! Restrictions on pets, painting, remodeling.

    2- Landlord can request you to move simply because he wants the house back (after honoring lease).

    3- Landlord might not keeping it well.

    Again, In either case, choosing what is best for you as well as your goals is the greatest fit.

    However, you can always purchase a house and let (PRO for buying). Be a landlord making good quality extra monthly income (my neighbor does!) plus more perks!

    Added by Jesse & Powell on Sun, Jun 24th 2012

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