Tag Archives: renting

Rent VS Own: Comparing The Costs

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Rent VS Own: Comparing The Costs

Some people can spend a long time wondering whether it’s better to rent or own your home. While many people have a strong opinion one way or the other, others think that different things are right for different people. It’s ultimately a personal decision whether you think renting or owning is best. Many people change their minds at different points in their lives. Renting can be more flexible, but owning can be more secure. Some people see renting as throwing money away, but if you get a mortgage, the property doesn’t exactly belong to you, either. Working out costs can help you decide which is the best choice for you.

Rent VS Mortgage: The major living expense for most people is the cost of their rent or their mortgage payments. The cost of renting can vary widely, depending on where you live. Some people can spend a third or even half of their income on rent, but others will pay much less. Working out how much you might spend on your own home is easy to do. If you use a house loan calculator, you can work out how much your payments might be. Some people might discover that mortgage payments could end up being less than what they pay in rent in the long run.

Bills & Insurance: Whether you rent or buy, you still have to pay bills. However, if you rent a room or property, your bills could be included in your rent. If you buy a home, you will always be responsible for your bills. This does mean that you have more control over them, though. It’s easier for you to change energy suppliers, for example. Another cost to consider is insurance. As a homeowner, you need to insure the property and its contents. But as a renter, it’s still a good idea to have renter’s insurance. Although the expenses are similar, the amount you pay could be very different.

Property Maintenance: As a tenant, maintenance of the property is usually the responsibility of your landlord. There might be some things that you’re required to do to keep it looking good, but major work isn’t normally up to you. But, as a homeowner, you need to pay for anything that needs to be fixed. And if you belong to an HOA, that could mean a lot of maintenance. Property maintenance is one of the things that can potentially make owning your home more expensive than renting.

The Cost of Moving: Another thing to consider is the costs of moving home. If you own your home, you’re likely to move less often. It’s up to you when you move, unless you can no longer afford to keep your home. But if you do decide to sell and move, it could be very expensive. Of course, moving as a renter costs money, too. You might have to pay a security deposit, first month’s rent, agency fees, and moving fees, plus you could move a lot more often.

Owning a home is often more expensive than renting, but many people prefer it. If you’re trying to decide which is right for you, look at the pros and cons of each and make the choice most suited to your current lifestyle.

Featured Image By: Pixabay

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3 Ways Your Home Can Earn You Money (For Once!)

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3 Ways Your Home Can Earn You Money (For Once!)

Homes have always been a cost-center. Sure, there is light at the end of the tunnel, but your home will always cost you money. Mortgage payments, property taxes, utility bills, and all that end of the month stuff that makes us realize how small our pay check really is in today’s world. But what if we told you that you could turn your home from a cash-leaker to a money-maker and that you could do it right now? Oh, yeah, we’re totally serious.

The Extra Apartment: As with anything that involves your house, always check the legalities of a renovation. But, in most cases, there is nothing illegal about adding a self-contained property to your estate. It could be that you have a basement that is doing nothing but letting the heat escape from your home in the winter, in which case you should definitely look into renovating it into an apartment to rent out. If you haven’t got this option, then why not have the team from The Renovation Company take a look at your garage and see what they can do with your space. As a little bit of advice, we do recommend that you work out how much this extra self-contained property will make in rent and how much value it will add to your home, and then calculate whether the cost of renovation is worth it. However, the scales usually tip in your favor, especially if you’re clever (which you are!).

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Chez YOU!

The Rental Route: The undisputed king of disrupted technologies is Airbnb and for good reason, too. If you live in an area that is desirable or even within a short distance of some attractive spot, then you could see your home turn into a cash-catching side-earner. What do we mean by desirable? Well, being in a holiday hot spot has its benefits, but so does living close to a hospital, airport, university, popular wedding venue, or a big employer. The other great thing about going down this route is the choice. You could rent out your spare room, both of your spare rooms, or your entire house (and just go and stay with your friends for a few days). You can set the price, boundaries, rules, and the little extras you are willing to offer (yup, we mean breakfast). You could even up your fee by making a few simple home improvements. Trust us, a lot of people are making a lot of money from going down this easy-peasy route.

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I’d pay extra for that!!

The Storage Space: Not everyone is cool with the idea of sharing their home with total strangers, whether short-term or long. That’s kind of understandable. However, renting your space out for money doesn’t have to mean inviting people into your castle. You can make a steady income by renting it out as a storage space. The fact that there are now companies like Store Mates proves that there is an ever-growing demand for storage units, and that is what you could offer. It could be people wanting to store their boats or RVs over the winter, in which case your heated garage would be ideal. It could be that someone is moving house and needs to store a load of boxes, which is where your unused attic becomes a money maker. Just remember to treat your listings like any other listing. Good photos and a detailed note of any additional features will go a long way in cranking up your fee.

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Just don’t take the boat out for a test spin!

With a bit of creativity and possible renovations, your home could become your newest money maker in no time!

Featured Image By: Pexels