However, the real challenge can come before you even try to sell and are just looking to take the next step. When you’re choosing where you want to live next, you’ll be faced with a number of choices – location, type of property, size etc. One choice will probably give you more headaches than any other, though. Should you choose to buy or rent in your next property?
There are advantages with both strategies, and it all boils down to what works out best for you and your needs. But do you know the real pros and cons of renting vs. buying? We look at both sides to help you make an easy choice with your next step in mind.
Buying a house rather than renting it will have many advantages. For a start, you will own a tangible asset that you can sell for profit in the future or eventually pass down to your children. For many, this is the biggest deciding factor. They feel that paying their mortgage towards a physical asset makes far more sense than just spending month after month on rent without building equity.
In addition to this, there’s much more stability when buying. As long as you keep up with your mortgage payments, you know that you will never have to move home unless you want to.
And of course, the home is yours, you can decorate it yourself and make any changes you like to turn it into your dream dwelling.
However, it is this factor that is probably one of the biggest negatives as well. You will need to make any repairs to the home yourself, which can turn out to be costly and time consuming.
And on the flipside of the stability argument comes a lack of flexibility. If you are buying a home, chances are you’ll need to live there for a number of years before you are able to move again, meaning that it is more difficult to move jobs and take on a new role in a new city far away.
It is this that is also the biggest positive for the rental argument. There’s a reason more than 4 million people nationwide now rent in the private sector. It gives you the sort of freedom that you can’t get when you buy a house. Got a new job? No problem, because you can nearly always move at short notice and just rent a new property elsewhere.
In terms of money, renting can also make a lot of sense. While those who are buying will be expected to pay a deposit of anywhere between ten and 25 per cent of the value of their home up front, a tenant really only needs to pay one month’s rent as well as around six weeks’ rent for a security deposit.
As well as this, you also have the fact that the home is not yours, which is great for things like maintenance and repairs. Within reason, your landlord will normally be responsible for many of the repairs that need done around the property, reducing costs and increases convenience for you as the tenant.
The downside to this is that your rental property may never truly feel like your own home. If you are renting from someone, putting your own stamp on the property will be hard. Most owners won’t want you redecorating their property and this might leave it feeling less like a home.
Whichever option you choose to pursue, there are definite pros and cons on both sides, and the best way to make a choice is to have a look at what you need from your new home. A short checklist can help you decide if the freedom offered by a rental property is preferable to the sort of asset that you get from buying, ensuring you make the right choice.
No matter your choice for your next step, selling your home quickly can remove the stress and time constraints associated with trying to move to a new home.