Buy or rent?
You’ve probably asked yourself this question many times. It can be a difficult choice for anyone looking for a new home. To give people the benefit of the doubt, Osgoode Properties has put together some of the best financial and lifestyle advantages of renting an apartment compared to owning a house or condo.
Buying a house or condo is a major long-term commitment. Renting an apartment is the best choice for people who don’t like to be tied down by mortgages, interest rates and substantial bank loans.
Renting lets you be secure with a short or long-term lease while still having the freedom to change neighbourhoods or cities if the circumstances call for it. For people with careers as their number one priority, apartments are the best option when relocating across Canada for a new job in cities like Kingston or Calgary.
There’s no guarantee that a home or condo will increase in value over time, even in a relatively stable economy. It’s possible that your home 05-May actually decrease in value, becoming a depreciating asset rather than a sound investment. Furthermore, houses and condos can have many unexpected maintenance fees that rentals don’t have. Conveniently, the maintenance of an apartment is the responsibility of the property owner-not the tenant.
Over time, an apartment has fewer expenses beyond property maintenance. The cost of rent is often lower than a mortgage. There are more savings in other monthly expenses such as utilities-houses typically cost more to heat and cool than apartments.
There’s even more financial freedom as a renter: Hypothetically, a renter can conserve their down-payment on a house and put it into a high-interest savings account, invest in personal ventures or contribute to their retirement savings plan.
Of course, it’s not always about money. It’s also about the golden rule of real estate: location, location, location. Apartments are often located in some of the best neighbourhoods that cities like Edmonton have to offer. As a renter, you can choose to live in the heart of downtown or perhaps farther from the city near freeways and highways. This is an attractive advantage especially for young professionals who want to discover new areas and a variety of people and cultures.
When deciding to rent or buy, keep in mind the lower expenses, flexibility and overall freedom that renting an apartment can afford. People have enough stress as it is with careers, family and relationships, so keep it simple with high quality apartments at Osgoode Properties.