Rent VS Buy
By eftychiap
@eftychiap (349)
Cyprus
November 14, 2007 6:56pm CST
Would you rent a house forever or would you like to buy and own a house? I believe nowadays it is very expensive to buy your own house or build one. It is cheaper to rent a place without having to get a loan, having a monthly payment to the banks and grow old until your dept is over! Isn't it?
1 person likes this
6 responses
@ljcapps (1925)
• United States
15 Nov 07
Personally no, renting is never better. If you can get a loan why would you want to pay for someone else's mortgage? When you are renting that is exactly what you are doing. If you are making a house payment rather than a rent payment you are building your own net worth, equity and credit score. Look at it this way, let's say you have been renting an apartment for $500.00 per month. We'll say you have been living in this apartment for five years. That totals out to paying out $30,000.00 with absolutely nothing to show for it. Where that could have been $30,000.00 Toward your own house.
@eftychiap (349)
• Cyprus
15 Nov 07
Yes that is true..but what about taxes that you pay for a loan?
1 person likes this
@ljcapps (1925)
• United States
27 Nov 07
I can't say as i have ever paid taxes for the loan itself, although there is sales taxes which are rolled into the closing costs. The one thing you do have to pay in connection with the loan is the interest. Although the closing agent we used gave my wife and I some great advice. If you have a thirty year loan, let's use mine for example, $69,000, and make ONE extra payment per year you will shave NINE years off the loan amortization schedule and save your self about $40,000 in interest. Making more than one payment drops the payoff time even more and saves even more in interest.
@Savvynlady (3684)
• United States
15 Nov 07
I feel that if you rent, do it for a minute(a while so to speak), then make it your best and I mean your very best endeavor to buy a house of your own. That to me is the ultimate investment other than having money saved in the bank, on yourself.
@polachicago (18716)
• United States
15 Nov 07
two sites of this story, you can have loan for 15 years and pay in full in about 11 years...
own is better, because you do what you want to do, no lease to sign, no deposit, no restrictions...
@butterfly39 (3904)
• Philippines
15 Nov 07
Well I always wanted to have my own house of course, even how small it is, it's a nice feeling.
We don't know our tomorrow and our how healthy we are to rent a house for so many years...
@tybtgdh (36)
• China
15 Nov 07
In my view, buying is much better than renting. renting is tiresome, You can't decorate house as you wish, you are not allowed to do something as per the lease contract. you have to deal with the landlord. if you are lucky and met a reliable one, that will be much better. otherwise, you will encounter many problems.
