Buying Vs Renting—The Better Option Among The Two
Both renting and buying an apartment have their own advantages and disadvantages, which differ according to the circumstance of the person wanting to stay in an upscale locality like Sandy Shores Village.
Advantages of renting
Renting an apartment seems like the best option especially for people having cushy but transferable jobs. Other advantages associated with the same include:
- No ownership responsibilities like paying for maintenance, structural issues etc.,
- Small replacement items like light bulbs, air filters etc. need not be paid for,
- The expenditure on the apartment remains fixed thereby making financial planning easier,
- Amenities which come along with the apartment can be enjoyed for free etc.
Disadvantages of renting
However, not all situations are as rosy as it sounds for there are circumstances wherein renting an apartment does seem to have certain disadvantages like:
- Tenants have to abode by the rules and regulations set by the owner irrespective of whether they like it or not,
- Rental rates tend to fluctuate over periods of time which can cause an irregularity in the household budget planning etc.
In fact steep rise in tenancy rates might force the tenant to vacate his precious apartment and his dream of staying near a beach. Also rules regulating the time guests can stay or whether pets can be kept etc., might be a cause for inconvenience.
Advantages of buying
Buying obviously translates into financial investment and it has been statistically proved that real estate has the highest return on investment. Other advantages which make buying an apartment a lucrative option are:
- Credit ratings and credit score of the homeowner increases,
- Loans, especially for fixed-rate mortgages, remain constant throughout the loan period thereby making finance planning easier,
- Interests paid in home loans are eligible for tax deductions,
- Freedom to decorate the apartment in a way one wants,
- Availability of storage space etc.
Disadvantages of buying
The most important disadvantage is the financial investment involved. Thus while renting enables one to stay in upscale apartments for a fixed fee, buying an apartment in the same area might seem too expensive because of the down-payment required. Other disadvantages include:
- Repairs, insurance, property tax etc., all of which need to be taken care of on a regular basis,
- Maintenance of the apartment by way of keeping it looking clean and beautiful,
- In case of a need to move to another place, the apartment either needs to be sold or rented out, both of which can be a hassle when there is paucity of time.
It is however, not possible to decide in definite terms as to which is the better option—buying or renting. Hence it is best left to the user’s discretion to understand which offers the best deal.