Buying or Renting: Which Is Better for You?

In: English and Literature

Submitted By kath640
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Buying or Renting: Which is better for you?
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Buying or Renting: Which is better for you?
Introduction
Many times we are faced with the challenge of choosing between buying a home and renting one. There are various advantages and disadvantages related to each of these options that an individual has. It is the dream of each individual to own a home in a good environment which is secure and peaceful. There are two options that one can choose from when considering a home. One can either rent or buy. It is important to carry out a thorough investigation on each of the options and make an informed decision.
The decision of buying or renting any asset is crucial and should be critically analyzed. Therefore, it is important for one to take into account the benefits and costs involved in each option before deciding on the one to take. One might choose to use a buy vs rent comparison tool such as the mortgage calculator that can be provided by a lender or real estate broker. The Rent versus Buy Comparator allows the user to compare their estimated financial position after 7 years of renting with their estimated financial position after 7 years of home loan repayments (Realtor.com, n.d.). This tool will allow the buyer or renter to compare the possible financial cost and assists in making the decision whether to buy or rent.
Moreover, most finance calculators will take into consideration the rent, rent insurance, expect inflation rate, price of home, down payment, all fees associated with buying. Moreover, the financial calculator will include any home owner’s fees, annual property tax rate, realtor commission rate, and number of years expected to stay at the property. Depending on which area of the country the person or persons are looking at, will eventually determine the amount of rent or mortgage they…...

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