To Rent Or To Buy? That Is The Question.
After the housing crisis, "Renting is the new buying." became a kind of mantra. A lot of Americans have stopped believing that a way to build wealth is by owning a house. Reports have found that many homeowners can see themselves becoming renters instead. Furthermore, according to reports, there were considerably fewer first-time homebuyers.
These days? This is still the case. But did you know that people are once again warming up to the idea of being home owners? Well, the younger people that is. Most of them have some savings, and a lot are tired of renting. While those about 5-10 years older still have some residual shock from the housing crisis, the younger generation looks like they are ready to face a new chapter and do their best.
Overcoming Obstacles and Parents' Mistakes
A 24-year-old Amanda from Kansas City, Missouri recalls how her mother took up some loans more than they can actually afford. Amanda mentions that she does not want to repeat the same mistakes and accumulate debts beyond her means. She was also advised by her mom to do her best and stay within her financial limits.
Why exactly does Amanda want to buy a house instead of just renting? It actually has something to do with wanting to get a dog. Her husband does not want to get one until they have their own home. So aside from the dream of owning a home, it is also the dream of being a pet owner that pushes her.
Her personal life is the reason why 35-year-old Lee from Tampa, Florida does not think she deserves to buy a home. Being single with no partner or children, and not contemplating of getting married in the near future, she thinks she does not need her own home. However, recently, she has been thinking that since she has a solid career, plus she is tired of moving from one small rental unit to another, it might be good to buy a house.
With mortgage rates remaining quite low, and rent prices continuously going up, it might be a good choice to consider buying a house. Everything will depend on the area where you want to live in. There might be great deals around that will benefit someone who wants to buy or rent.
If you want to see a projection of the costs of renting versus buying, try out online calculators that factor in all the elements from mortgages, maintenance, how long you are planning to stay in the house, and more.