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Should You Buy A House Or Rent?

Home ownership is a very important personal decision. Owning or renting a house depends on so many factors. It depends primarily in your own situation.  Sometimes, it is a wise decision to buy a house. Other times, renting is better. You need to consider the pros and cons as well as your financial capacity to either buy or rent a property. Buying Ascaya luxury homes is very expensive but you can rent them for a much lower price.

Owning a House: 

Pro 

  • It can be a form of investment. The cost of renting a property is affected by inflation, meaning it can go up anytime. Owning a house protects you from inflation. Should you badly need to sell it, you can sell it at a higher price than its original buying price. Or if you decide to have it rented, it can be another source of income which you can use for savings or to invest in other business. 
  • The house is yours so you can make major decisions about it like if you will renovate it, make it bigger, decorate the interior, etc. You don’t need to ask permission from someone else. 
  • If you plan to transfer the ownership to your children later on, you can. This shows how much you think of their future. 

Cons 

  • Don’t overestimate its value as an investment. If the location is not ideal or the house is not maintained well, its value can go down over the years. Sometimes, investing in a stock or a bond is a better option.
  • Owning a house is a complicated task. Aside from the total cost of the house, you need to consider other big cost like hiring a real estate agent, renovation cost, documentation, taxes, mortgage, lawyer, etc. 

Renting 

Pro 

  • Renting is not as complicated as owning a house. All you have to do mostly is to pay for the rent, and that’s it. The maintenance, renovation, documentation, property tax, etc. is being shouldered by the owner. 
  • The cost of renting is cheaper than mortgage. So if you’re paying capacity is low, just rent, and don’t buy a house. 
  • If you will not stay in the place for more than 5 years, it is better to rent. You don’t like to invest too much in a house that you will eventually vacate after few years. 

Cons 

  • Is affected by inflation. Your rental cost can go up annually, depending on the owner’s decision. 
  • The house is not yours so you cannot do anything you want to make it look more presentable and comfortable without the owner’s approval.