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Rent vs. Buy: How to Decide What’s Best for You

Rent vs. Buy: How to Decide What’s Best for You | MyKCM

According to the U.S. Census Bureau, median rent continues to rise. With today’s low mortgage rates, there’s great opportunity for current renters to make a move into homeownership that stretches each dollar a little bit further.

While the best timeline to buy a home is different for everyone, the question remains: Should I continue renting or is it time for me to buy? The answer depends on your current situation and your future plans, so here are some thoughts to help you decide if you’re ready to own a home of your own.

1. Rent Will Continue to Increase

This is one of the top reasons why renters decide to move because in most cases, rent will continue increasing each year. As noted above, the U.S. Census Bureau recently released its quarterly homeownership report, and as the graph below shows, median rent is climbing year after year. When you own a home, you’ll lock in your monthly payment for the life of your loan, creating consistency and predictability in your payments.Rent vs. Buy: How to Decide What’s Best for You | MyKCM

2. Freedom to Customize

This is a big decision-making point for many people who want to be able to paint, renovate, and make home upgrades. In many cases, landlords determine all of these selections and prefer you do not alter them as a renter. As a homeowner, you have the freedom to decorate and personalize your home to truly make it your own.

3. Privacy

When renting, your landlord has access to your space in case of an emergency. If you own your home, however, you’re the one to decide who can come inside. Given today’s health concerns around the pandemic, this may be a growing priority for you.

4. Flexibility for Relocation

If you’re renting, it may be easier to move quickly should you have a job transfer or simply decide it’s time for a change. When you’re a homeowner and need to sell your house, this might take a little more time. Today, however, with the housing market’s low inventory, this may no longer be the case. Homes are selling at a record-breaking pace, so you may have more flexibility than you think.

5. Building Equity

When you pay your rent, your landlord earns the equity the property gains. If you own your home, the benefits of your investment go directly toward your net worth. This is savings you’ll be able to use in the future for things like sending children to college, starting a new business, buying a bigger home, or simply downsizing to save for retirement.

6. Tax Advantages

When you own your home, there are additional advantages that work in your favor as well. You can deduct things like your property taxes and mortgage interest (Always make sure you check with your accountant to see which tax-deductible benefits apply to your situation). When you rent, however, the tax benefits are directed to your landlord.

Bottom Line

It’s up to you to decide if you’d prefer to rent or buy, and it’s different for every person. If you’d like to learn more about the pros and cons of each, as well as resources to help you along the way, let’s connect to discuss your options. This way, you can make a confident and informed decision with a trusted expert on your side.

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Coldwell Banker Vanguard Realty, Erin E. King MBA IconColdwell Banker Vanguard Realty, Erin E. King MBA

3610 Saint Johns Avenue Suite #103, Jacksonville

5.0 8 reviews

  • Avatar SEO Services ★★★★★ a month ago
    Erin King continues to impress me with his knowledge of Macro situations impacting local real estate and interest rates, as well as micro trends in the Jacksonville, Florida real estate market. Whether a historic home in districts such … More as Avondale, Ortega, or Riverdale, or surrounding neighborhoods, Erin and Coldwell Banker Vanguard Realty is an Artisan choice where he is a true asset and team member and most important, results oriented.
  • Avatar Nick Freeman ★★★★★ a year ago
    Erin was excellent! He made the home buying process for my wife and I simple and stress free. His expertise and knowledge of the historic homes of Jacksonville allowed us to feel confident in our decision to buy a historic home. We interacted … More with multiple realtors prior to meeting Erin and I must say he was by far the most impressive. His authenticity and genuine interest in findings us the right home really set him apart from others. I highly recommend working with Erin King.
  • Avatar lindsey kilbride ★★★★★ a year ago
    Talk about a stress-free experience purchasing my first home! Having Erin King as my realtor was the best decision. He knows his stuff and helped me get a great price on my dream first home in a seller’s market. He did a tremendous job … More negotiating. There’s no pressure with him and he’s not going to let a buyer settle for a home that isn’t the right fit. There were no surprises throughout the closing process as he keeps his buyers in the loop. Even when a minor issue came up with the appraisal, he called me with his plan to remedy the problem and it was fixed that week. Erin truly looks out for his clients, alerting of any red flags but is reassuring about bumps during the process that can be easily handled — that’s why his wealth of knowledge and experience is such an asset, he’s seen it all. A bonus: he’s really nice and funny! Great person to work with. I highly recommend him.
  • Avatar life changer ministry ★★★★★ a year ago
    Erin is by far the best realtor I worked with. I really enjoyed working with him. He has a wealth of knowledge about the housing market as well as home inspection. He is also a great negotiator. Was able to close on my house in 28 day … More and i had zero sleepless night. Didn't have to worry about a thing. Everytime I had a question he always had an answer and always returned my calls promptly. Erin is my realtor for life. I Will be referring Erin to all my friends and family members.
  • Avatar Kerry Fitzgerald ★★★★★ a year ago
    My experience working with Erin was by far the best I have ever encountered with a realtor. He quickly identified important aspects that I wanted in a home and was able to narrow down key properties to consider. In addition Erin’s displayed … More strong knowhow through his extensive knowledge of the areas and market I was considering. Balancing pros/cons and keeping me well informed at every step. By leveraging his strong listen skills and attention to detail we found my dream home in a very short time. Erin continued to support me throughout the sales process and well after to ensure my expectations were met and exceeded. I would absolutely recommend Erin to any of my colleagues, friends and family on future home purchases.
  • Avatar Roberto Vieira ★★★★★ a year ago
    This was my first time buying a house and Erin made the entire process seamless. His knowledge and attitude allowed me to decide on a house with confidence and the fact that he is on your corner during the entire process, does make you … More very at ease. Buying a first house didn't have to be scary. Who knew!

Coldwell Banker Vanguard Realty - Erin E King MBA REALTOR
5.0
Based on 4 reviews
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Alpha Foundations
Alpha Foundations
16 hours ago
The team showed up when I was told they would to encapsulate the crawlspace of my 1924 bungalow in Avondale. Like many folks with above grade homes our home suffered from very high humidity levels. The Foreman was informative and professional as well as the rest of the team. They began work immediately and graciously answered every single one of my questions (I ask a lot of questions). They worked, the first day, until dark, and returned very early the next morning to finish up. Here we are just 24 hours later and my home feels, already, more comfortable than I can remember. The clean space crawl space, although a big investment, is worth every single penny. Their 25 year warranty, and emergency call number if something happens is very reassuring they will be there for me down the road if I need them.
The Happy Grilled Cheese
The Happy Grilled Cheese
1 day ago
The bricks and mortar version is just as good as the truck itself. Best grilled cheeses!!! Yum!
First Watch - Riverside
First Watch - Riverside
1 month ago
For being less than thirty days old, the location is performing well above par. We were greeted the moment we hit the door, we sat at the bar top, and received excellent service. The food was delivered promptly considering the volume. Excellent work all around, keep it up and welcome to Riverside!!!
Good Dough
Good Dough
2 months ago
Excellent first experience!! We will definitely be back.
David M.
David M.
2020-04-14 07:12:21
My wife and I worked with Erin when he was at Bloom Realty to buy our first home in 2018. We had a great experience. As first-time homebuyers from out of...
Simone J.
Simone J.
2020-03-13 11:57:13
Erin is the best! If you are looking for someone who tells you like it is, and points you towards what you want and actually needs, he is the realtor for...