There is always a vigorous and heated debate whenever the topic of buying vs. renting a house arises. However, the debate can make the most financial sense. The arguments which pop up from the debate carry equal validity, so it becomes complicated and monotonous to decide the conclusion. The latest changes to the tax law have made owners of a house financially less beneficial. Thus, the conflict between buying and renting a house continues to progress.
Why is it better to rent than to own?
Nowadays, homeownership is a lifetime goal for many people. While in Malaysia today, home-ownership is a massive concept, but it wasn’t this big before. Families either had to build their own houses or rent a home from others. While both leasing and purchasing have financial advantages, but its not everybody’s cup of tea. In case you are searching for a good place to take rent at you can consider KL Gateway residence for rent.
One common question that usually arises during the debate is,” Why should you pay a landlord every month rather than building up your own home?” In fact, renting may be more persuasive because of many financial reasons. You must be sure about the fact that if you are in a position to buy a home. It’s probably not the right time to buy a house if your personal, financial, and social life are not in a good sequence.
So let’s dig out some of the factors that generally pop out from the debate:
1. The cost of owning a house is beyond your expectations
There seems to be a broad perception that it always makes more sense to buy a house than to take houses on rent. This is a bygone conception. While buying a house, is considered as a great investment. But this is not the fact. Rent is not a capital loss. Well, you’re not going to see the dollar again, but in return, you are receiving shelter for yourself and your family. While on the other hand, if you are buying a house, you will need to spend a lump sum amount of money behind taxes, interest payments, and other expenses— money you can never see again.
2 There is no down-payment required
The cost of the initial project is another aspect that tenants are beneficial off. Renters may have to spend a particular amount as a security deposit, along with one month’s rent. Nonetheless, you have to pay a large down payment while buying a house with a loan, typically of 20%. So, in order to avoid a huge investment in one go, it is better to opt for renting. And taking Rent KL Gateway can surely reduce your stress of finding a good place to stay.
3. No need to calculate the maintenance cost
A super benefit that tenants have is the upkeep or renovation costs as compared to the house owners. Your landlord is liable for all upkeep, upgrades, and renovations while you are giving rent for their property. You have the leverage to contact the owner of the house you are living at, if any problem arises like systems stop working or if the roof leaks, and or any other issues you may face during your stay. On the other side, homeowners are in charge of all house renovations and refurbishment charges. It can be quite costly, depending on the nature of the maintenance.
4. More flexibility
Tenants can actually stay anywhere according to their choice, while homeowners have certain limitations, as their interest-only build their houses, which can be affordable. For most home buyers, building a house in the town may not be possible because of the investments, but it may be affordable to the renters. Although rentals can be large in areas with high home values, tenants can consider a reasonable monthly payment more readily than homebuyers.
5. The utility costs are affordable
Houses are typically larger than rental apartments, although their scale may differ. As a result, energy is more costly, and electric bills can be even bigger. Leasing properties typically have a lightweight and spacious floor plan that makes them heat and power more economical than houses.
House ownership isn’t for everyone, and especially for those who want to remain mobile. The free financial services and the opportunities that rentals bring make people choose their own path out of the illusion of homeownership. Your new home may be a dream home, but your existence can be a breeze or a disaster in the surrounding area and in the citizens. Will you really enjoy the pounding sound of disco from the college student neighbor? You will surely not!