A couple of years ago, when I was on my second job and making a tidy sum every month, I decided to move out of my parents’ house and into a small flat in Leeds. Renting the place was great fun until I met a friend who was making less money than me but who had already paid the deposit on her first house. Talking to her made me reconsider my life choices and I decided to look into home ownership as a viable future plan for myself.
I am sure that you are probably at a similar crossroads now. You have been comfortable in your current home. However, the problem is that you do not own it – not really. Losing your job could lead to your eviction. This is also the case if you are unable to continue paying the rent.
However, before you get on the property ladder, consider the following. I will help you think about everything that comes with home ownership so you can make a smarter decision whether to continue renting or move into your own home.
When I decided to buy my first home, I had to pay various fees. I discovered that owning a home does come with a couple of expenses that I had already been informed of by my friend. As a renter, I did not have to pay these fees directly. These fees cover maintenance of the home, renovations, homeowner’s insurance, monthly utilities, and monthly common fees, among others.
However, renting also comes with its own costs. Apart from the rent, I also had to pay brokers. Additionally, there was also the opportunity cost on my security deposit. Although these expenses had a negligible impact on my financial situation, I decided that it was time for me to join the property market as an owner. This is why I opted to buy instead of renting.