property is all about investing inyour future, this all depends on how you see this happening whether its renting a property to eventually buy in the future or you want to dive straight in a purchase your first home, which at the end of the day will big one of the biggest assets youwill own.
A decision between renting or buying, with multiple factors involved for either choice, and with both having their own advantages and disadvantages, it can be hard to figure out what would best benefit you now and in the future. this all comes down to knowledge and experience, someone who can help you understand what to expect as well as giving you an insight into what path would best suit your plan for the future and this all comes down to your financial status aswell, and who better than to have in your corner than an experienced residential property valuer.
If you havent heard the term property valuer before, this is someone who has expensive knowledge and skills in their specilaised field whether its, residential, commercial/industrial and even business related. A valuer will conduct an inspection and complete a comprehensive valuation report for the property in question, whether you decide to rent or buy, there is a valuation service that will be especially tailored to your property related requirements.
Depending on what you decide renting or buying a property is a big financial commitment to make, the question many of us ask is how renting can beat owning a home? below are a few points to consider before making the final decision.
Upfront costs
with fewer financial hurdles to overcome to start the process, renting may require: security deposit(bond), first months rent, and application fee’s that may be non-refundable. but comparing to the hefty cost requirements needed to buy a property, such as home deposits/down payments, closing settlement costs. although the monthly cost of renting may be higher than mortgage repayments, theres no need to worry about the additional property taxes and home repair costs that tend to sneak up when you least expect it.
Low Risk
No matter the investment type, there are risks involved, if you decided to buy a home, there is the chance of the market crashing, which could affect the value of your property, but this isnt a permanent worry, this would not be a concern when renting, the biggest risk you may have if you decided to rent is if you were happy with the place you choose to live in for the long run.
Flexibility
Freedom, this is the biggest benefit of renting over buying. if you deceid to move states/countries, breaking a lease is easier with menial costs involved than it is to pack up and sell a house. and this also depends on the market and the process could take months even years. with renting theirs a move out date and a breaklease fee and and then you have no others costs to worry about.
Additional costs
Certain repairs and the costs involved are the responsibility of the landlord/management company when you are renting. unless there are direct results of your actions then you would have to accept the costs. and its easier calling the landlord to organise repairs than trying to figure it out yourself for your own property.
So far, the benefits we’ve mentioned regarding renting vs buying have come down to finances. keep in mind home ownership is a variable cost and depending of your mortgage terms, interest rates flactuate over time, taxes tend to increase throughout the year and if you werent financially prepared if something were to go wrong. with renting, your amount is set for the duration of your lease, as a contract is signed for a fixed fee, the only cost that may change slightly is your utility bills
Stress Free
Life is a rollercoaster, and something will always be out of our control. As a homeowner you have your day-to-today responsibilities, but when renting you don’t have to think twice about the little things. Like chipping paint, yellow grass or leaves in the gutter. In fact, a renter may not even notice these things.
Upgrades
A home will become your biggest asset and your’re locked in for the long haul. so you may deceid to upgrade the property, its expected that if you decide to sell the property in the future and want a good return on your investment, that you would be keeping up with maintenance and keeping your home upto date as the years go by, this will potentially add value to your property and will benefit the potential of your property being bought quicker.
As a renter, the property you are leasing may not be your forever home, so it can be easier in a way to accept a outdated kitchen or poorly designed bathroom as its not forever. you are still able to add your aesthetic to the property to fit your lifestyle and make the property feel abit more homely for the duration of your lease.
The decision ultimately comes down to you, your lifestyle, finances and the amount of responsibility you want to handle. some may even sell their home for the flexibility that comes when renting or if your ready to jump straight into buying your first home at the end of the day its what you see for the future. As we mentioned a valuer is an essential part of your decision making process, the research and knowledge that a valer has is invaluable and you are guaranteed a valuation report that will give you a better understanding of the market conditions, true value of property and a service tailored to your requirements
Author bio
A leader in the valuation industry, Brandon Cagle is one of Brisbane’s finest property valuers. With decades of experience in the Queensland property market, Brandon uses his expertise to complete valuations across residential, commercial, and industrial property types, and is adept at valuating more specialised properties or purposes. Brandon is certified and registered with the Australian Property Institute (API).
