In the real estate industry you tend to hear the same slogans repeated and thrown out as truths. There is one I keep hearing recently that really bugs me, and that is that if you are not buying real estate and don’t own property, you are less than, or just plain stupid. I see posts all- of-the time about how people are literally “throwing money away” if they have decided to rent versus buying a home. There are many reasons why this is untrue, but let me throw out a few!
- You pay money and in return receive shelter. It is not wasting money to rent, and you are definitely not throwing your money away.
- Sometimes it is not the right time for someone to buy a home. Maybe you can’t afford the home you would need to be able to make it worth the initial investment long term. Maybe you are unsure of how long you will stay in a certain location and want to stay flexible.
- Just because you can buy right now doesn’t mean it is the best time for you to buy. Perhaps you are risk averse and want to have some emergency repair savings first. Maybe you just are not ready! You might not need any money down with some loan programs, but what happens when the water heater goes out? Or you discover a major repair is needed that the inspector wasn’t able to catch during the time of the home inspection?
- Your rent is just too good to pass up or not take advantage of. Yes, you’re missing out on some appreciation, but you have amazingly lower than the market rate rent, and are using the additional funds to pay down debts, contribute towards your retirement account, or enjoying experiences you’ll cherish forever.
- Sometimes, it is just easier to rent. Owning property takes a certain amount of time, money, or resources. Financially savvy home ownership means upkeep and money invested routinely. If you decide to move, enter into a new financial situation, or another life altering set of circumstances, selling for top dollar will take a certain measure of work. If you decide to rent it out, that will take time, or money on your end.
I don’t think anyone should feel guilted or pressured into homeownership. Decide when the time is right for you, and tune out the rest! For more reasons you might decide not to purchase a home right now, click here.
Keryn Giguere | Realtor®
Board of Directors, Tacoma Rainbow Center
My Reviews: http://www.realsatisfied.com/Keryn-Giguere