Should you buy or rent a home

A beautiful home is the dream of everyone and life is incomplete without your dream home. But do you know that buying a house is not always the best choice. You have to worry a lot about many things like homeowners insurance Florida and you will always look for cheap home insurance.Every country and state has its own laws and property market environment. Many people ask that either they should buy a home or renting a home will be better for them? It is not a tricky question but things get complicated when you find both options equally suitable. The answer totally depends upon your location and your family needs. If you can afford Florida homeowners insurance and you are not attracted by cheap home insurance, buying a house can be a better choice.

Having a home was the dream of every American few years ago as the situation was quite different from today. You could get cheap home insurancepolicies and Florida homeowner’s insurance policies were not so much expensive.If we look on recent reports and research on American householders, it is clearly stated that most of the people like to rent a house instead of buying a new one just due to Florida homeowner’s insurance expenses. On the other hand, you can choose any cheap home insurance.Having a strong bank balance is also necessary and renting a home supports this opinion. You should buy a home as you are going to stay in your home for lifetime and it will be your legacy. So, now you feel that you should buy a home.

Now you are really confused and don’t know that should you buy or rent a home. Don’t worry as we are going to discuss some points that will clarify that either you should buy or rent a home.

How long do you plan to stay

Your duration of stay in any place or state is the main factor that decides that either you should buy a house or you can rent one. In case that you are planning to stay for months then spending a lot for FL home insurance is not that good deal. If you have a job that demands continuous movement of your family and you have to change your city after every two to three years then you should rent a house as it is the better choice and you don’t have to pay other expenses that are mandatory for buying a house.

Buying a house is an expensive decision and costs a lot of money. Just imagine you have paid a lot of commission to the agent while buying a home in one city and now you are moving to another state for job. Now again you will have to pay a handsome amount of commission to your property agent. You could save this money by renting a home on short term lease. So consider that how long you are planning to stay at some place.

Owning a House is better option

Most of the householders in North America by and large believe that it is vastly improved to buy a house or apartment suite as opposed to renting one—and they have a justifiable reason for reasoning this. In many markets, home costs, for the most part, ascend around 4% every year. So on the off chance that you buy a home for $250,000 and then you put 5% down, you will contribute $12,500 of your own cash.

On the off chance that your home at that point goes up in an incentive by 4% of every one year, your home will have expanded in an incentive by $10,000. That is an arrival on your venture of 80% out of one year! Who wouldn’t have any desire? For what reason would you need to rent when you can profit owning a house? Shockingly, there is a considerable measure of good reasons why somebody might not like to buy a home.

Can you afford down payment

In most of the states of the United States, you have to pay at least 5% of the total amount as down payment. If you have that much money then you can probably consider buying a home but if you cannot afford that much down payment, you should rent a home as it is more finance friendly decision.

Rent and Mortgage Payment

Many homeowners go for the buying option as they think that their rent is nearly equal to the mortgage payment that is required for owning this home. It is a common mistake and your monthly budget for rent does not equal to the mortgage payment. If you are paying $1000 in rent that does not mean that you can also afford to pay the same amount of mortgage for your home. The actual cost of owning a home is higher than your expectations. The actual price can be 40% higher than that of your mortgage payment as the actual price will also include different other taxes and expenses. So, consider all possibilities before buying or renting a home.