Would you guess that over 34 percent of America’s population are renters? According to RentCafé, that means that 100 million people across the country rent real estate. And that number is increasing.
These renters have all chosen to rent for different reasons, but it is clear that there are many benefits to renting that would attract such great amounts of people. Renting has fewer incurred costs than buying, as well as fewer responsibilities and more wiggle room for your life plan. If you are stuck in the “rent vs. buy” debate, read on and learn more.
The Costs Are Lower
Owning a home can be perilous at times because expenses can pop up anywhere. And the daily costs of maintenance and ownership add up quickly. In contrast, renting’s cost is set per month, so you know what to expect. The general public tends to agree; in 2019, 82 percent of renters said renting is more affordable than owning, jumping up from 67 percent the year before.
When you first rent an apartment, all you have to do is put down a deposit that is equal to your first month’s rent, which you will get back when you move out. In contrast, when you buy a house, you have to make a downpayment of around 20 percent of the purchase price of the home. That’s a lot of money to put down up front. Renting has a much lower barrier of entry to overcome.
The costs of homeownership over time are also greater. When you rent, you don’t need to pay property tax, and your insurance is much more affordable. According to a 2017 study by the Insurance Information Institute, the average renters insurance policy costs $180 per year, while the average homeowners policy costs $1,211.
The Repairs Are Not Your Responsibility
Accidents happen, and sometimes those accidents involve damage you can’t fix on your own. When you rent, there is no need to run to the hardware store or frantically look up fix-it videos; there is someone there to help you make repairs. At Washington Place Apartment Homes, we have a team of experienced staff who are trained and certified to help you when you need it. Our team sets to work as soon as you report a needed repair to keep you comfortable and happy in your home.
The Lease Is Short
One of the most obvious benefits of the decision to rent vs. buy property is that a lease does not last forever. That means you can move from place to place whenever you need to. You can sell property, but having a mortgage makes things more difficult, especially because you never know if someone will buy your house. Robert Pinnegar at The Washington Post writes, “Regardless of age, mobility is one of the top reasons people decide to rent. For millennials just entering the workforce or in the process of building their careers, the ability to relocate is a major factor. Even if they are in a financial position to purchase a home, millennials may choose to rent to have the flexibility to take advantage of new job opportunities as they arise.”
We at Washington Place understand that you may not be able to stay with us forever, but we want you to be taken care of wherever you go. If you move from Washington Place to another AMC property or vice versa, we are excited to offer you a loyalty bonus of $250 to help you hit the ground running.
With a difference in costs, less responsibility, and more freedom, it’s easy to see why more and more people are choosing to rent vs. buy. At Washington Place, we want you to look forward to coming home every day; give us a visit and see why the decision to rent with us is for you.