Posted on August 21, 2019
When it comes to renting vs buying, there’s no quick answer.
Considering the benefits and drawbacks of both options could help you make up your mind. At the end of the day, your long-term career goals, family life, and financial position will influence your decision.
So, which would be a better option for you – buying or renting a home? Be sure to consult our estate agents in Newcastle so you can make an informed decision.
Reasons Why You Should Rent a Property
Having your own home makes you feel thoroughly secure. After all, you won’t have to relocate every couple of years, pay higher rent or put up with overbearing landlords. More often than not, the downsides of owning a home could easily outweigh the advantages.
For instance, you’ll have to carry out refurbishments periodically, which could erode your savings. When you own a home, there are some recurring costs you cannot avoid.
Experienced letting agents in Newcastle maintain that renting a property is more practical than buying one.
When you rent, you don’t need to worry about property tax, homeowner’s insurance, replacing damaged appliances and undertaking costly repairs. Moreover, renting a new address is much easier than selling a home.
It makes sense to rent if you don’t have a stable job or steady income. Renting is also a viable option when your job is transferable, and you want your family to live with you.
You may have to rent if you don’t qualify for a home loan.
Reasons Why You Should Buy a Property
Our estate agents in Newcastle recommend buying a home if you want to live in your preferred neighbourhood.
Buying makes sense if you have children and you want them to continue studying in the same school. If you’re planning to stay for a few years, you could make a hefty profit by selling when the property prices rise.
Furthermore, if you have a good credit history, buying is prudent as you’d qualify for a mortgage with competitive rates.
Why Buying is Better than Renting a Home?
In the short term, rentals tend to appear cheaper compared to paying a mortgage.
However, when you add up the rentals for the period it takes to reimburse the mortgage, you end up paying a lot more in rent.
Even though you can earn from letting out your home, you can never recover the amount you pay towards renting.
What’s more, in case your landlord sells the property you have rented, you may have to relocate on short notice. On the other hand, you can continue living in your home for as long as you like.
Contact Wright Residential
Wright Residential is a leading property management service in Newcastle established for over two decades. Whether you are looking to rent a home or buy a property, we can help you find the right property. Contact us today to make an appointment.