When Should You Choose to Rent Your Home?

Looking at a home for rent is something that many people do even when they are in the market to buy. Deciding whether to buy or rent can be a tough choice for anyone. Both renting and buying present you with advantages and disadvantages. Here are a few things that you should think about when deciding whether to rent or not.

Time Frame

When you are moving somewhere, you need to strongly consider how long you will be there. If you plan on being there for less than three years, you should most likely rent a house. When you buy a house, there are many costs associated with it. You will pay real estate commission, closing costs, and title fees. Therefore, you usually need more than three years of appreciation to get that money back. 

Budget

Many people jump into a mortgage before they are completely ready. Do not make a decision to buy a house before you can afford it. Making your decisions based on future circumstances will often go against you. Look at your current budget and decide if you can afford to buy a house. If you cannot comfortably afford it, you need to look at renting a place until you can.

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