Sept. 26, 2018
Advantages and Disadvantages of Owning and Renting a House
Are you a homeowner wondering whether renting makes more sense at this point in your life? Or, are you a renter tired of renting apartments and interested in buying your first home? If so, it’s time to evaluate the advantages and disadvantages of each option.
The U.S. rental vacancy rate was 6.8% in the second quarter of 2018, near a 20-year low. By contrast, home ownership sat 63.7% in the second quarter of 2018, near lows seen since the mid-1960s.
Given the expenses related to home buying, younger people begin their adult life by renting an apartment. As they shape their professions, save money, and begin families, many opt to purchase a home.
Homeowners nearing retirement, on the other end of the spectrum, may choose to become renters.
Before we look at the advantages and disadvantages of owning versus renting, let’s look at the costs associated with each option.