Delivering Homes

Advantages and Disadvantages of Renting

Although often enough you hear property agents say that it is now the perfect time to invest in properties and buy instead of rent, renting has a lot of under-talked about benefits that we will be exploring in today’s blog post.

Advantages

You can change your neighbours.

The type of neighbours that you have may affect your quality of life. If you have neighbours that disturb you, you can easily move out of your home and find a different or better neighbourhood.

Financial flexibility

Some people find it difficult and struggle to make ends meet every month so renting is sometimes the best option as it is generally cheaper than paying a mortgage. If for some reason or another, you will find yourself in some sort of financial troubles, it will be much easier to adjust and reduce your living expenses when renting. Also, when renting you will not be required to place a big down payment like home buyers are requested to pay.

0% market risk

When buying a home, you have to take into account the market price at that point in time and how the property value might change in the near future. When renting, you don’t have to think about this.

No insurance payments

When renting, you don’t have to add another insurance policy to your existing list specifically for your home as this will be taken care of and paid by your landlord.

Lower utility costs

When compared to other homes, most rental properties have a smaller floor plan, which will result in lower utility costs.

Disadvantages

The owner rules

If you rent property, you will be subject to the owner’s rules which might include some restrictions such as no pets allowed in the rental property.

Your living situation depends on others

Since you will not be the owner of the property, your living situation will depend on how much the owner takes care of his/her property.

Zero return on investments

When renting, you have to pay the owner on a monthly basis or as agreed upon, with no investment being made in that property. Although when owning a property you have monthly payments scheduled to pay your house mortgage, you know that you are investing in your property.

Monthly rental payments might climb

When renting you don’t have a guarantee that your monthly rental payments will remain the same for the whole rental period unless it is specified in a contract signed by both the landlord and the tenant. Rental payments tend to continue climbing.

Interested in renting or listing your property for rent? Visit our website: http://www.deliveringhomes.com.mt

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