Many people reach a stage in life when they’re really wondering whether it’s better to rent or buy a house. Have you ever calculated how much money you pay in rent over an extended period of time? The amount you spend for rent each month could be applied to a mortgage instead, which helps you build equity and will usually reduce the amount in taxes you pay each year.
What happens to your rent money? It’s simply gone! There’s no interest, no equity, no return. Contact us today to determine your home-buying ability.
I've included a chart below to help visualize the difference between paying rent vs. a mortgage:
No interest-payment deductions
Rental amount may increase at any time
Landlord approval needed for any changes
No capitalization; your money disappears forever
Rental is temporary and often subject to a 30-day notice
Mortgage interest is tax deductable
Decorate and make changes, without prior approval
The value of your property may increase in time
- Your house will become a home, not a temporary living situation; you are not at the mercy of a landlord