Buy or Rent?

Renting vs. Owning

Deciding whether to rent or buy a place has much to do with two things: lifestyle and long and short term financial costs. Renting is a great option for people who want to be mobile and have access to amenities like a gym, pool, and club room, which you find at many apartment complexes. 

Critics of renting say doing so is “throwing away money.” That’s not entirely true. Most homeowners are making a mortgage payment every month. That’s an expense. The difference is the homeowner is building equity, the renter is not. 

Right now is in an interesting time to be discussing anything real estate because there hasn’t ever been a time like this in real estate. The economic conditions created by COVID-19, coupled with the affordability of money have made a perfect storm in real estate. Incredible demand, low inventory, and low interest rates have brought many new buyers and the market is having a hard time keeping up. 

Consumers have a choice: rent or buy. One is likely easier than the other. The savvy consumer will be thinking long-term, recognizing that equity and appreciating value are things renting is incapable of offering. There’s no doubt single-family homes (SFH) are in greatest demand and the premium prices are attached to them. An experienced agent will help you navigate this market to find what you’re looking for; and if you have a home to sell, all the better. 

We worked with a client who bought a home in 2017 for $325,000. Three years later, we sold it for them for $380,000. A gain of $55,000! When you own, that money is yours. When you rent, it’s someone else’s.