When deciding where you should live next, you may be split between two options: renting or buying a home. While both options have their pros and cons, there is not an ultimate best decision between the two options. Our Des Moines real estate attorneys share tips on how to decide between renting and buying a home.
Are You Interested in Equity?
One of the main differences between renting and owning a home is the equity involved in the transaction. When you rent a home, you will pay monthly rent, but that rent will not go toward home ownership. Meanwhile, if you purchase a home, your payments will go toward the ownership and equity of the home.
Do You Want the Responsibility?
When renting a home, you will be responsible for reasonable upkeep and maintenance, such as replacing air filters and lightbulbs but will not need to coordinate maintenance for the home. Your landlord will be held responsible for the scheduling and paying for necessary repairs, unlike if you own your home.
If you own your home, you will be financially responsible for any necessary repairs to the home, which can be done on your own schedule. However, maintenance updates, such as new HVAC systems, water heaters, and appliances, can be costly, especially if the repair is unexpected.
Do I Want to Pursue a Home Loan?
One of the most important financial aspects of owning a home is becoming approved for a home loan, which is typical if you are not paying for your home “in cash.” Home loans can put checks on your credit, and you will be held responsible if you default on your loan.
Do I Have Enough for a Down Payment?
With how hot the housing market is, you will most likely need a down payment to place an offer on your home. While there are some housing assistance and home loan options available to purchase a house without a down payment, you may wish to consider a down payment to help pay some of the overall costs.
Do I Want to Be My Own Landlord?
When owning a home, you are your own landlord. You may wish not to have a landlord after past landlord disputes, or so you can have the freedom to decorate and modify the home as you desire. Whatever your reason, owning a home makes you your own landlord and gives you to power to make major home improvements and decisions.
Des Moines Real Estate Attorney
If you said yes to a majority of the questions above, you most likely are in line to purchase a home instead of renting. Purchasing a home is a major accomplishment, and our real estate attorneys at Hope Law Firm can help you make this dream a a reality.
Are you interested in representation for your real estate matter? Get help, get Hope and schedule a consultation with our team of real estate attorneys by calling (515) 298-5056 or contacting us online.