Renting vs Buying a Home: Three Important Factors
Homeownership give you more control over your finances and helps you grow wealth over time.
When deciding between buying a home or renting, think about three important factors:
Buying a Home Means Avoiding Rising Rents
When you rent
Your monthly payment generally increases each time you sign or renew a lease.
When You Buy
With your fixed-rate mortgage, your monthly payment is locked in for the length of your home loan.
Homeowners Own a Tangible & Valuable Asset
When you Rent
You won’t get any return on your investment as you pay your rent monthly.
When you Buy
As home prices rise, you build equity as you pay down your home loan.
Grows your Wealth Over Time
When you Rent
When the cost of renting increases, it’s more challenging to save money for a down payment to buy a home.
When you Buy
As you build equity through the years, you boost your net worth.
Consider these three important factors when deciding between buying a home or renting. Buying a home means avoiding rising rents, owning a tangible and valuable asset, and growing wealth over time.