Abberly Green Blog

To Rent or to Buy?

TO RENT OR TO BUY

We all need a place to call home but even with the real estate downturn, many people continue to think thatbuying a home is a good investment and a way for them to build wealth.  When times were good, this was not really the case for most people.  Wherever you choose to live, make sure it’s for the right reasons.  Owning a home can be rewarding. Renting an apartment home in Mooresville at Abberly Green can also be very rewarding.  Don’t just take our word for it – check out thisarticle on Yahoo Finance.

This article from yahoo finance will go over questions like:

• My home is my largest asset. Why shouldn’t I rely on it to provide my nest egg?
• But it’s certainly better to buy a house than to pay rent, right?
• But I have to live somewhere! And I have to pay something for a place to live. Certainly it’s better to pay “deductible” mortgage interest than rent…

Be in the know.  Do your own research and be confident in the decision that you make to rent or to buy.

While driving in my car the other day, I heard a radio commercial for a really popular home builder in this area.  As someone who has rented an apartment, owned a home, and had a father who constantly taught fiscal responsibility, I tend to see the flip side of any type of new and exciting financial obligation (such as buying a home or car).  This particular commercial touted that you could own a home for just as much as you pay in rent.

This is almost always a misleading statement and I really can’t believe that builders and sometimes realtors can tell people this with a straight face.

First of all
The monthly mortgage that they typically advertise does not include property taxes and insurance.

Secondly
Renting an apartment does not include HOA fees which can be anywhere between $50 -$300 per month, depending on the neighborhood.

Thirdly 
Most importantly, the advertised monthly price does not include the yearly maintenance, which is usually 1% of the home value per year, nor the decorating costs.

Obviously, you don’t have any of these costs when you are renting an apartment home at our community.   I know that many of you have owned a home and understand the financial responsibility of home ownership.

For those who haven’t, keep this information in mind when listening to one of those commercials!  There are many other peripheral benefits to renting but the choice is always yours.