Property is one of life’s biggest investments for most people, and the question of whether to rent or buy can be a constant one. There are many pros and cons to both, and a lot of it will depend on your lifestyle circumstances and budget. Because the property market is so vast and the future uncertain, it can easily feel daunting to put your money into a property. Below are some points to consider when trying to decide what’s best for you.
Think About Your Savings Situation
With any property investment, you need to start with your savings, whether existing savings or money you intend to save. Naturally, with a property purchase, you’re going to need a significant amount of money upfront for a deposit. So if you already have a large amount of money saved which you had intended for a deposit, then this is a good place to start and will give you the option of buying a property.
If you don’t have a deposit saved ready, you need to think about whether you can save for one (and whether you want to). If this is impossible, or you would prefer not to, then rental deposits will be akin to the first month’s rent and are infinitely more affordable.
Think About Your Move-In Deadline
Your timeframe can be a big factor in choosing whether to rent or buy. If you have the luxury of unlimited time, you may be happy to save up for a deposit, browse the market and undergo a potentially long wait for a property purchase to go through.
If, however, you have a strict deadline that you need to be moved by, renting can be much quicker. In a lot of cases, you may even be able to move into a rental property the same week.
View Both Rental and To-Buy Properties
If you’re torn between the two, it’s a good idea to begin viewing some houses in both categories to see what you can get for your money and how you feel. While intending to buy, you may find that you can get your dream home and location with a rental property but that your dream home isn’t on the market to buy at the moment. There is no harm in viewing both options, and finding a dependable estate agent who deals in both rental and purchase properties, like an estate agent & letting agent in Cheshunt, will be a good place to start.
Consider Your Intentions for the Property
Some people want to make money off their investment and choose a renovation project they can spend time on. Others may want their forever home, in which case rental might not be the best choice if you’re looking for something permanent. If you’re simply looking for a dependable place to live, perhaps only on a temporary basis, then rental can be better for that.
If you have the money to outright buy a property without paying a mortgage, then it could easily be a no-brainer unless you would prefer to keep that large amount of money in your savings and pay rent instead. Rental properties are great for saving money and for a quick and easy move, whereas buying is better for long-term investments, long-term homes, and if you care more about an investment.