Rent or Buy? 5 Factors to Consider in Today’s Housing Market

Are you currently renting and trying to decide if homeownership is right for you? The decision to rent a home or buy one can be especially hard in today’s housing market. After all, home prices have skyrocketed over the past two years and so have rental costs. Could your money be better used in the investment of a home? Consider these five important factors as you deliberate:

Rents Continue to Rise Quickly

Most renters are notified as their lease draws to an end that rent will go up if they choose to renew. It’s common practice, especially for those with a one-year lease. Payments will continue to climb year after year. Homeowners with a traditional, 30-year fixed rate mortgage can rest assured that their housing costs will remain steady, while renters will continuously encounter increases.

Homeownership Allows Choices and Customization

Compromise is the name of the game for renters. You pay for the use of someone else’s property because it’s in the perfect location, because it’s just the right size or because your situation requires mobility, but you give up the ability to truly make it your own. Most landlords do not want pink paint in your little girl's room or a vegetable garden in the backyard. Homeownership means you can paint, renovate, build, and change the property to fit your specific needs.

Renting Will Not Build Equity

Perhaps the best benefit of homeownership is the wealth built through equity. High home prices don’t simply mean it’s more costly to buy; they also mean that homes are worth more, that intrinsic wealth is being built. As a renter, you miss out on this important wealth-building tool that can aid in retirement, college expenses for kids, and so much more. In fact, those monthly rent checks are helping your landlord’s future wealth instead of your own.

Today’s Market Lends Unexpected Flexibility

Many renters choose to rent because their current situation demands mobility and the flexibility to move in a short time frame. The good news about today’s market is that, once you find a home to buy, if you need to move, you will likely not have to wait long to sell it. The average home is on the market for just 17 days, according to the National Association of Realtors (NAR). These conditions are expected to continue throughout 2022, as inventory is projected to remain low.  

A Great Time to Buy

The decision to rent or buy hinges on your own unique circumstances and needs. Nevertheless, if you’ve been flirting with the idea of buying, now might just be the best time. Mortgage rates continue near historic lows and home prices are expected to continue rising throughout the year. Buying now could mean you’ll already have equity built into your home by year’s end. Waiting will likely mean your money will buy less in the same amount of time. For help in the decision-making process, contact the experts at Peggy Slappey Properties with a call to 770-271-5555 or a visit to www.psponline.com.

Peggy Slappey Properties, Inc. is a Metro Atlanta real estate brokerage with 39 years of experience in real estate sales and marketing.  From new home construction to resales, we can help you find the home of your dreams.  To see our current listings, visit www.psponline.com and call us for expert advice at 770-271-5555.  Keep up to date with the latest PSP events and offers by checking in on Facebook at https://www.facebook.com/peggyslappeyproperties and on Twitter at https://twitter.com/psponline.