Advantages And Disadvantages Of Renting A House
The choice between paying a rent or buying a house is a difficult one to make. Renting a property makes sense if you are not sure about the duration of the stay in a particular city. It makes no sense to buy a property in a city where you are not going to spend time. Taking a property on rent is a viable option for all those who wish to enjoy living in a luxurious apartment that they might not be able to afford to buy. Moreover, in a rented apartment one does not have to pay for the major repairs like cracked floors, etc.
Advantages of renting a house
Huge investment are not required: Renting requires signing a contract that rarely exceeds a period of 11 months and the advance deposit that is made generally ranges in thousands. Renting allows you to live in a premium area that you might not be able to afford to buy.
Immune to property price fluctuations: The frequent changes in property prices have negligible changes in rental prices.
High Mobility: Its always easy to shift out of a rented accommodation, in a rented accommodation one can almost always easily give a months notice and vacate a house if he/she needs to change a home/locality/ city.
Less responsibility: While renting, the responsibilities regarding the property are shared between the landlords and tenants. Major repair costs such as seepage, cracked floors have to be borne by the landlords.
Disadvantages of renting a house
Money doesn't grow: You don't get any return on the property that one is taking on rent. The real beneficiary is owner of the house who earns an income.
Maintenance Issue: You might have to struggle to get the repairs done in a timely manner
Renewing rental agreement: There is no guarantee that the rental agreement will be renewed. Also renewing a rental agreement can lead to an unplanned rental increase.
Restriction: One cannot renovate a property according to his requirements. Plus there are also restrictions that are imposed on a rental property like many flats owners will not allow pets into their property.
Pros and cons of renting a house
|Pros of renting a house||Cons of renting a house|
|Huge investments not required||No return on rental paid|
|Immune to property price changes||Maintenance issue|
|Easier to shift out||Rental agreement renewals are difficult|
|Limited responsibility||Too much restrictions|