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The Eternal Question Should I Rent, Or Should I Buy??

The Eternal Question Should I Rent, Or Should I Buy??

MAY 2012

Every professional has asked themselves this. Such a simple question if not answered correctly can make headaches appear and salaries disappear. Thankfully your reliable Real Estate Agents at Terra Caribbean are here to make this decision easier. In the upcoming paragraphs I will discuss the pros and cons of renting and buying, the costs, unseen cost and other factors that must be considered when making this important decision.

Let us look at buying first. Apart from the price there are other costs that people do not realize until they have to pay. The First payment is the down payment which is usually 10 % of the price of the house. Paying this secures your purchase and lets the vendor know that you are serious about buying.

Other costs to consider are the furniture, valuation cost, legal fees, negotiations fees, stamp duties and mortgage fees. It is also important to look into a variety of mortgage packages and to study which package will suit you best.

Besides the costs there are other details one should think about before buying. What is your financial status? If you are a young professional now starting out, then renting may be more appropriate in this time. What are your family plans? Your home must be able to suit the size and needs of your family. How is your social life? Your home needs to be able to accommodate guests comfortably. Last but not least, do you have or plan on having children or keeping pets? Then extra Room must be allocated for them, as they will form an integral part of your family.

If you do decide on buying the benefits are numerous. There is a personal satisfaction and pride of ownership. The security that you feel when you own a home is one of the most comforting feelings you can give yourself. When you move into a neighborhood you become part of a community, this gives you and your family the opportunity to build relationships with your neighbors and form life long friendships. You can also use your home as collateral and stand a better chance of borrowing money down the road.

Renting is a bit less complicated than Buying. It is simple and attractive for people who are just looking for something temporary. The cost usually includes the first month’s rent and security deposit. Renters enjoy the befits of flexible living with the option of relocating easily.They also have less overheads and less responsibility while still having a place to call their own. However they do have to obey the terms of the rental agreement, and most tenants may be subject to increases in rent every couple of years.

For new couples renting may be a first step, a trial run before they decide on buying a home together. Singles might prefer to rent a property because they don’t need all the space that a home will offer. One of the best benefits of renting is that most physical problems you may encounter your landlord will usually fix or pay to fix.

I hope the information provided will aid you in making your decision. You should remember that if you are living somewhere that does not meet all your needs nothing is holding you back from moving to another better location. If you are interested in making the transition from renter to home owner or owner to renter Please contact any Real Estate Agent at Terra Caribbean. Our agents are ready and waiting to assist you in anyway we can.

Best of luck,

David McCartney

Submitted by Terra Caribbean