The number of landowners is falling fast. According to Natalie Elphicke, a housing expert, by 2041, only 49 percent of people will own their homes. This means that in 27 years, renting will become the norm.
To buy or to rent is a huge complex argument. Owning a home is a dream for many but it is not the best option for everyone. There are some benefits from being a tenant. Buying a home comes with numerous expenses. You have to think about your mortgage repayments. However, this is not the only thing to think about. There are buildings insurance, general maintenance, repair bills, boiler issues, and the list does not stop there. It can be expensive and long. If you are a tenant you do not have to do such expenses. It is the problem of the owner.
You can decide to buy a home in a friendly neighborhood because you liked it. However, if the circumstances change such as natural disaster, change of career, or other unforeseen tragedies, you will have few options on your table. As a tenant, you can move whenever you feel it.
Even though buying a house is better than renting, owning a house can be a big investment for some of us. Buying a house is a complicated process but renting is easy. All you have to do is find your room in your selected area, call the owner for an inspection of the room and if you are happy with the room, you can negotiate the rent before to sign the deal. In order to save effort and time, many owners are having just a verbal agreement with their tenants. Since there is already furniture in most of the rooms or houses for rent, you have just to bring your luggage.
This is not the case with buying a house. You will need a loan and the process can consume your time because you will have to find the best loan with a better interest rate and you will have to wait a probable approval of your application. You will have to buy furniture.
Renting a house does not require a big capital. Generally, the landlord will ask two months of the rent to deposit in his account and one month utility deposit before to sign the deal. This is little compared to the original capital required in purchasing a house.