In a country similar to ours, people who are able to afford to purchase a house have a greater value in having a home. renting being an alternative. Both choices, however, offer pros and cons.
Many factors such as the price as well as location, connectivity, and many other factors can influence a homeowner's choice of a new home. Sometimes, waiting and watch, and then rent-in is a possibility that plays in the mind of potential buyers. Know about the questions to ask when renting an apartment click here.
In all the above mentioned elements, the one most significant factor that often solves the question of whether to buy or renting is budget and the availability of readily available financing.
In a macro-level, purchasing is the answer that is analysed because the prices of property are only anticipated to rise in the longer term. However, it's a more general notion that rental property could be considered anytime. However, if you look at it carefully one will discover that both renting and buying offer distinct advantages and drawbacks.
The benefits of purchasing the house:
1. When you purchase a house it provides you with the security of knowing that you are in good hands and pride in the form of ownership.
2. Rent is a cost per month that doesn't result in creating any kind of physical estate. Making EMI however, is the opposite, and offers two benefits that are not just the possibility of a month's rent however, it also increases the percentage ownership for the home.
3. If you rent there are times when you must move out and this takes time, money and energy. However, this isn't a problem when you own a home.
4. The real estate market is considered to be a secure investment that is backed by tangible assets with the potential to grow capital and tax benefits.
Benefits of renting a house
1. Renting a home is a way to get rid off the burdens that come with EMI and property taxes as well as other legal issues associated when you own a house.
2. In metropolitan areas, a home valued at 50 lakhs can be rented for as little as Rs 15,000 to 20,000 per month, dependent on the area. However, if you purchase an identical home at the same amount then you must pay an EMI that is between the Rs 30,000- Rs 40,000 range.
3. While it's possible to live in a rental close to work, or near good schools, those houses aren't always accessible or affordable in the event that one decides to purchase these properties.