Although home ownership is viewed as a big part of the American Dream, it’s also among the biggest financial commitments you’ll ever make. Should you jump in and go for it, or is renting a better option? There are many things to consider in weighing whether to Rent an Apartment vs. Buy a House, and many cases where renting makes a lot more sense.
How much cash do you have to put down?
A major factor in weighing whether to rent vs. buy is whether or not you have a lot of cash on hand. Purchasing a home usually requires a down-payment as well as additional capital for closing costs, which deters many buyers due to the substantial amount of money those two things alone can add up to. Additionally, existing student loans and credit card debt can impact your ability to qualify for a mortgage, and if you do qualify, can often impact the interest rate you are eligible for. Renters only need a small amount of money to get started and can even choose from apartment communities that don’t require an up-front security deposit.
How much do you like to do-it-yourself?
One of the perks of home ownership is that you own it all – including the problems, repairs, and upkeep. Some property management companies, like Red Oak Apartment Homes, offer 24/7 emergency maintenance to take care of any repairs in your apartment and your building, and also handle lawn maintenance, snow removal and landscaping for you. If you are a person on the go – taking care of those tasks yourself when you own a home can take up a lot of valuable time, can be costly, and require a great deal of mechanical know-how.
Are you staying, or do you want to be able to pick up and go?
Renting vs. buying makes a lot of sense if you don’t plan on staying in one place. If you haven’t quite figured out where you want to plant roots, enjoy moving from place to place, are thinking about a career change, or have a job that is fluid, renting can be a much more viable option for you. A month-to-month leasing option can provide you with the flexibility to get up and go.
Do you like extra amenities?
Another financial benefit to renting vs. buying is access to amenities. Many apartment communities have on-site fitness facilities, pools, playgrounds, dog parks, etc. all included as part of the community. Rather than having to pay an additional monthly fee or get in the car and drive across town, everything you need may be right within your apartment community.
Are you budget conscious?
Finally, fixed expenses are a great benefit to renting vs. owning. Homeowners may have to deal with fluctuating variable rate mortgages, increasing property taxes, homeowner’s insurance, water and sewer bills, etc. Rental properties have a fixed monthly expense that you can count on, some even including your heat, hot water and electricity. Fixed expenses allows you to budget accurately and know exactly how much extra cash you have leftover for making investments, traveling and enjoying life!
Looking to rent in Manchester, NH?
Red Oak Apartment Homes has been helping people find the right apartment for their needs and budget since 1984. Red Oak has urban, suburban and country apartment locations throughout Southern NH with amenities like on-site parking, storage, fitness center, dog parks and more. Apartments are pet friendly, and sizes range from studios to 1 - 4 bedroom styles and even single family homes to rent. Contact Red Oak for price and availability and ask about the New Flex Pricing Options for renters!