Buying vs. Renting: Is buying always better?
If your living situation is in the process of changing, and you are not sure what to do, I hope I can help you out with this decision. Typically, I am a strong advocate of home ownership and real estate ownership. I think investing in real estate, even if it is just your own home, owning real estate builds equity over the long term.
You may be asking yourself, should I rent or should I buy? The real question should be should I rent, or CAN I buy? If your credit is great, if you have a lot of debt, no money for a down payment and closing costs, or if your income is not consistent, you might not be able to obtain a mortgage, therefore buying is out of the question, but you can start the process of bettering your credit and getting to the point of qualifying for a mortgage.
If you have money for a down payment, have a good credit score, and your debt to income ratio (amount of money you owe monthly vs. the money you make monthly) is good, then buying a home is probably a good option. Is it always a good time? Not necessarily, if you like to move often, maybe buying a home isn’t for you, but you should own real estate. If you LOVE a building, but the association is not doing well, or is really pricey, then maybe renting is a better option. This is actually quite common in big cities and higher end homes, real estate becomes more expensive than renting, unless you are purchasing cash.
Most real estate agents will tell you buying is always better, and although that blanket statement isn’t exactly true, buying and owning real estate is never a bad addition to a portfolio when purchased at the right price and conditions for your situation.
I have worked with many clients who haven’t been ready, but thought they were. With guidance from a licensed Realtor and a mortgage lender, you can see what your options and possibilities are. I would love to help you with any questions you might have. Be sure to contact me for help.