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Although real estate can be a sound investment, it’s wise to consider the pros and cons of buying a home before moving out of your rental property. Depending on your lifestyle, financial stability, and future plans, renting could end up being the better choice. Here are some of the biggest differences between the two, so you can make an informed decision. 

When You Rent a Home

In the long run, living in a rental property may be more affordable than buying a house. While the monthly mortgage payment for a similar home might be less than what you pay in rent, there are lots of additional expenses that come with ownership to consider. Examples include property taxes, homeowners insurance, HOA fees, private mortgage insurance, repairs, and maintenance. Even renters who cover their own utilities will inevitably spend less on housing over the course of the year because there are so many other expenses that owners must cover

Also, because tenants have certain rights, your landlord can't put off expensive repairs. In other words, you get to enjoy prompt maintenance without worrying about the total cost. If you own a home, on the other hand, and a critical appliance like the furnace or water heater dies, you’ll have to find a way to cover the cost of replacing it out of pocket as soon as possible. 

When You Own a Home 

rental propertiesOwning a home comes with certain freedoms. If the property belongs to an HOA, you’ll have to abide by their rules; however, excluding any restrictions and covenants, you can adopt pets and make upgrades as you see fit. If you want to replace a worn carpet, for example, or remodel the bathroom, you don't need anyone’s permission to do so. However, the money will have to come out of your own pocket.

The biggest advantage of buying a home versus living in a rental property is the potential return if you hold on to the house for long enough. If your family moves every two or three years, buying homes could drain your finances much faster than renting because of closing costs, realtor commissions, and mortgage origination fees. If, on the other hand, you plan on staying put for at least five years, the property could appreciate enough to cover the purchasing expenses.

 

If you've decided to rent your next Hastings, NE, home, turn to Maendele Properties LLC. They have many rental properties throughout Adams County with all kinds of floor plans to choose from. Whether you need a studio apartment or a two-bedroom home, they can accommodate you. To apply for a unit today, call (402) 984-2020 or reach out on their website

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