You have probably come across several articles that highlight the pros and cons of buying and renting. We are not here to debate which is better. What we will discuss is when renting makes perfect sense. And in these situations, it’s really the only option. Purchasing a home is one of the biggest financial responsibilities most people will encounter and should not be taken lightly.
You Won’t Be Staying Long
Renting is perfect for people who are not sure how long they will be living in a particular city or neighborhood. If you are the type of person who does move around a lot, you might want to reconsider purchasing a place. It’s just not easy to get out of a home. Yes we have heard stories where homeowners can turn around a house in 6 months or a year and make a healthy profit. That is more of being in the right place at the right time. If you are wrong, then you may have to sell your place at a price your not happy with. There is nothing wrong with renting. Not only to you get to live in a place, you can leave whenever you want. It sure has it bonuses.
Poor School Districts
Did you know that there is a connection between healthy home values and good school districts? Parents want the best for their kids and will move to certain areas just for this. This creates more demand and higher home values. The opposite also holds true. Buy in a school district that is not really that great, and you likely won’t get that home appreciation that is really so valuable.
But what if your kids have already moved out of the house? Well again, then you want to go back and look at the home appreciation value of the would be home you are interested in. Because this factor is super important. There are plenty of awesome homes in areas that don’t have great schools. But a good rule of thumb is that an increase in home values and great schools have a relationship.
Your Employment History is Shaky at Best
Did you just start a new job or do you have the tendency to switch employers on a regular basis. Well you might want to reconsider purchasing a new home? It’s probably a good idea to wait until you are a little more stable. When you rent, it’s much easier to get out of an apartment lease. Plus leases are typically 6-12 months. If you own a home and need to sell, you may be forced to take an amount that is lesser than market value.
Remember these examples listed about provide concrete reasons why renting is better than buying in Denver. Owning a home requires a huge responsibility. Renting is not a second class citizen in regards to owning. It allows you to be more flexible in your living arrangements. You aren’t tied down to a place. And you don’t have to make any repairs. For some that’s a blessing.