In some countries, most people prefer to rent their homes rather than buying them. What are some of the advantages and disadvantages of renting homes?

In many countries, residents still prefer to own their homes;

however

, in the more developed countries, they prefer to

rent

rather than own because of affordability factors,

property

taxes, and maintenance costs.

In

addition

to financial barriers, changing culture is another

influencer

a power to affect persons or events especially power based on prestige etc

influence

. A lot of people, these days, are migrating for jobs;

therefore

, it does not make much sense for them to stay anchored to a particular location by acquiring

property

there. There are several advantages to renting. For a small family, renting a

property

helps them keep their expenses in check by avoiding

mortgage

interests,

property

taxes, and expensive maintenance.

For example

, in the state of Texas, USA, residents pay as much as 10 to 12 thousand dollars in

property

taxes a year.

That is

roughly the same amount they need to

rent

a two-bedroom apartment.

In

addition

to taxes,

mortgage

interest could be anywhere between 8% and 12% for a family with average credit scores. Even though

mortgage

interest is tax-deductible in most countries, it is something the family needs to cough up each month.

In

addition

to expenses, flexibility is another significant factor. The job market trends are evolving all the

time

and the demand is shifting from one city to another. The cost of moving is much less if the residents are renting rather than owning; owning

also

restricts cash-flow temporarily because selling a

property

takes

time

. On the flip side, there are several disadvantages to renting that people should take into account. In the past, families remained integrated because of their ancestral homes and its emotional value. We are already seeing that families are drifting apart because they do not have the anchor to hold them together through

time

.

In

addition

, those who live their entire life in rented homes spend a considerable amount of money on

rent

which could have been saved for their retirement. For many, it is helpful to fully own the

housing

Suggestion

house

to manage through the ups and downs of retirement.

Finally

, monthly

rent

is an expense as opposed to

mortgage

payments that build assets / equity for the owners. Over

time

, an owned

property

is another asset that holds financial value. In conclusion, there are many advantages and disadvantages to renting and owning a

property

. Those who are in the decision-making process should carefully weigh the pros and cons before making a decision, rather than simply considering the monthly expenses.