Renting Vs Home

Decent Essays
Renting or Buying a House
According to Siegel and Yacht (2009), in chapter 9, people have the dream of renting or buying a house. Renting can be a good opportunity for people who do not like to have legal or financial commitments. Generally, a landlord makes a contract to define the rules where often, the renter must present a person to guarantee the losses if the tenant does not honor the commitment or make an advance deposit. On the other hand, to buy a house or an apartment you need to learn how to save and make good financial planning so you do not have problems with the mortgage. This paper will aim to describe in detail the advantages and disadvantages of renting versus owning a home, and it will also present what is the role of the search in making a home purchase.
…show more content…
In renting a home, the renter has some advantages as the financial obligations are reduced, maintenance expenses are minimized, there are more liquidity and mobility, the monthly rent is framed within the budget, and other. In renting, there are some disadvantages as some limitations such as some prohibitions like bringing the pet dog, impossibility to change the decor, renter's estate does not evolve, unforeseeable expenses, landlord of the house dictates the rules, and others. In owning a home, there are many advantages like heritage growth, freedom to enter and leave, freedom to make choices, freedom to renovate and decorate according to the choices, self-esteem for being the owner, mortgage interest have the tax deduction, expenses are predictable, security, and others. In owning a home, there are some disadvantages such as the financial obligations, annual expenses, lower liquidity and mobility, the installments of financing are higher than rent, maintenance expenses, and
Get Access