Advantages of Renting

Conventional wisdom states that owning a home is always better than renting. Not only is owning a home the dream of many, but there are many people that will tell you that real estate is always a good investment. However, this, of course, is simply not true. There are definitely situations where renting a home is the smart choice.

To begin with, it is entirely possible that renting with allow you to afford a better life style then a buying a house outright. Between your mortgage, insurance, and utilities, the monthly payments on a home you own can total more than it would if you were renting the same place. A logical argument can be made to save that money and rent and even nicer apartment. Furthermore, apartments many times come with amenities such as pools and gyms. Such perks would come with an association fee if you owned the property.

Renting a home is also a safer choice than buying. First of all, there is risk of your house temporarily loosing value, based on the financial situation. Of course, "temporarily" can mean up to 10 years. Also, depending on the market and your own financial situation, a fixed rate mortgage may be beyond your means. Opting for an adjustable rate mortgages come with a whole other set of risk. Finally, you never know when it will be necessary to replace a roof or a heating unit. Such big-ticket expenses can be budget breakers.

Finally, renting a house never comes with any buyer's remorse. If you find in a few months that you actually hate the house or neighborhood that you moved into all you have to do is wait out the rest of your lease.