If you’re in the market for a new home, one option you may want to consider is to lease rather than buy. Depending on your individual circumstances, leasing can provide a smarter option than buying. Leasing offers an ideal option for people who value their freedom and whose finances make leasing an attractive choice.
If you’re transitioning from an apartment, a lease on a home may make more sense for you. When you lease a home, you won’t have to put a large amount of money down and in most leases, the repairs are the responsibility of the landlord. When you own your own home, anything that goes wrong is your responsibility. The matter is compounded by hawkish homeowner’s associations that will actively charge fees for any visible issues with your home.
When you lease a home, you tend to only have to pay the first and last month’s rent. Purchasing a home requires a large down payment, which can affect your ability to enjoy financial mobility and freedom. Additionally, you don’t have to worry about homeowner’s insurance, property taxes and other fees associated with owning a home. This makes it easier for you to set aside money for your future.
Hartman Income REIT specializes in commercial leases, but they are experts on leasing. If you lease your home instead of buying your home, just like their commercial leases, you’ll have more options available to specify the amount of square footage you need. When you own your home, you’re less likely to find the exact home of your dreams because your down payment will greatly affect the quality of the home you buy.
The Money Pit
Leasing your home protects you from a potential money pit. If you purchase a house that needs to be badly renovated, your money will quickly get absorbed into the massive amount of repair and maintenance required. By leasing your home, you protect yourself from these situations. You’ll be able to leave more easily and not lose your life savings because of a poor investment in a home that is not suitable for living.
The decision to buy makes sense when you are at a point in your life where you know you have a solid job and consistent income. If you’re still moving around and need to be able to take the next job that comes to you, leasing offers the benefits of home ownership without the associated costs and responsibility.