Advantages And Disadvantages Of Buying Home

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Buying home is most important, biggest decision one would ever make in their lifetime. More than that it will take you years to pay the mortgage loan, there are emotions involved in the process. This is the place you will call home, share with your other half, family members and raise your children. Many events, ceremonies, birthday parties will be celebrated in this house. Like any other decision, no matters how advantageous can be, buying home is not immune to disadvantages. Some people escape this big decision by opting to rent instead of through the process of buying a home. Though this might look good, it has its own shortcoming and probable the worst financial decision ever.
Advantages and disadvantages of renting versus
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• After paying rent, there is liquidity, which can be used for travelling or savings for capital expenditure.

Advantages of renting a house –
• Tenant is bound by the rules of the lease agreement, which can impact the freedom to use or renovate the property.
• You cannot make changes to a rented property without the consent of the homeowner.
• When renting a property, you will have no control over annual rental fluctuations which are directly affected by inflation.
• There is no guarantee that a lease will be renewed when it expires, and loss of interest accumulated on the down payment deposit that is paid when taking occupation
Advantages of buying a home –
• Owning a home offers the long-term benefits of security, equity and potential growth in personal wealth.
• The value of a home will appreciate over time and if you decide to sell, you can earn a profit off the
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