When you’re preparing to move, it can be hard to decide whether it makes more sense to rent or buy. Buying a home is a choice that will probably affect your finances for decades, and it’s essential that you carefully consider whether it’s the right decision for you.
You’ll want to consider the following factors to help you decide whether it’s time to rent or buy a home.
1. How long will you stay in the area?
If you’re in the area for a short time only or could potentially move within a few years, it may make more sense to rent than buy. A general rule of thumb is to consider buying your home if you’re likely to stay in an area for at least five years and rent it if you expect your time in the area to be shorter than that.
2. Are you prepared to pay for the expenses of owning a home?
The ability to afford a mortgage payment isn’t necessarily the same as affording a home. Homeowners aren’t just responsible for their mortgage costs — they also need to pay for upkeep, homeowner’s insurance, property taxes, closing costs, and more. So you’ll want to carefully consider all the costs associated with buying a home to make sure you’ll be able to comfortably make your monthly payments, plus the other bills that come with homeownership.
3. Is customization vital to you?
When you own your home, you can customize it to your liking (as long as you stay within your budget). Don’t care for the style of the kitchen cabinets? Knock them out and install new ones. Always wanted hardwood floors? Tear up the carpet and install the bamboo flooring of your dreams. If you have young children or a dog, you may want to install a fence in the backyard. When you rent, you can’t change your home to match your preferences. If you’re particular about what you want to come home to at the end of every day, buying may be a better fit.
4. What are your long-term financial goals?
Consider where you’d like to be financially in a few decades, and decide if investing in a home makes sense for moving forward. For example, if you have a career that requires frequent moves to advance, it may be a better choice to rent while you continue to climb the ladder. On the other hand, if you know that you’re going to stay put and you have the money to invest in a home, it makes sense to begin to build equity.
No Matter What You Decide, We’re Here To Help You With Your Move.
Moving is challenging, whether you’re transitioning into a new rental or you decide to buy a home. We’re here to help take some of the stress out of your move. Reach out to us today for a price quote and learn more about how we can help make the moving process easier.