Buying vs Renting in Fort McMurray

To buy or not to buy? That’s really an intimidating question, isn’t it? With homeownership comes responsibility, while renting may be relatively carefree. Let’s look deeper into the benefits of buying a home versus renting.

Pros of Renting a Property

  • The lack of responsibility and maintenance

  • Fewer expenses that might be paid by the landlord (including utilities)

  • Fewer (if any) maintenance costs

  • No down payment when necessary

  • No commitment

Cons of Renting a Property

  • You walk away with nothing after paying tons in rent

  • You’re often still stuck in a lease for 12 months or longer

  • Could be forced to move on fairly short notice depending on the lease

  • There might be lots of restrictions like no pets, no remodeling, and so on

  • Rental payment may exceed monthly cost of mortgage 

  • No ownership or wealth creation

  • Payments never stop when renting

  • Rent will rise over time

  • Must deal with a landlord or management company

  • No tax benefits

  • Rules, regulations, and limitations

  • More temporary, less stability

  • Always at the mercy of the landlord

While renting might be a temporary option for your housing situation, that’s really just what it is. Why rent when you can own? Not to mention that the money that you spend doesn’t get you home equity or ownership, despite all those payments. Nothing to hand off to your kids or to sell for cash proceeds. With the current real estate market you can actually buy with almost no money down and lower than rent mortgage payment. We have a list of bankers and brokers who can help. Check out this link to know more. Now let’s look at the pros and cons of buying a home.

Pros of Buying a Home

  • A place of your own with few if any rules to follow

  • You are in charge and can do what you want (remodel, move, rent out, stay forever, etc.)

  • You can build a ton of wealth in the process without lifting a finger

  • Might actually be cheaper than renting

  • You can build home equity and wealth

  • Sizable tax deductions possible

  • Your space, your rules

  • Pride of ownership (social status, sense of accomplishment)

  • Potentially better for children, family structure

  • Mortgage can improve your credit history/score

  • Ability to borrow against your home

  • No more monthly payments once mortgage is paid off

  • Mortgages are the cheapest loans available

  • No landlord

  • It’s an investment that you can live in

  • You can rent it out to others

  • You can sell your home eventually and use the proceeds for bigger/better home

  • Retirement nest egg

Cons of Buying a Home

  • Not ideal if you relocate often for work

  • Increased responsibility

  • Finding your forever home may be a hassle (that’s where hiring an experienced real estate agent saves you)

  • You must pay property taxes and homeowners insurance

  • Might not be the best option if you’re undecided on where to settle down

In summary, there are a lot of reasons why you should finally decide to buy a house or decide to continue renting for the time being. It’s all about what suits your current situation. But ideally, the tradeoff is that you’ll be rewarded for making the decision to finally own a home.

Looking for a property to rent or own in Fort McMurray? Check out your options on this link.


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