While the dream for most people is to purchase their own home, renting a property before buying can be hugely advantageous. Due to rising house prices, static job pay and several other reasons, buying your own home isn’t necessarily possible at first. However, there are many other reasons why you might want to give renting a go. Here is our guide to renting before buying.
It’s less of a commitment
Purchasing your own home is a massive commitment for anyone. It requires a lot of money, planning and time. Renting, on the other hand, is much more flexible. You won’t have to pay the same estate agency and legal fees that you would when buying a home, and when purchasing a property, there’s always the potential that you’ll end up in negative equity.
It’s ideal for those new to living together
Renting is ideal for those new to living together, perhaps, a couple making the transition into moving in together or friends wanting to house share. It’s particularly ideal for those who don’t have a deposit saved up for a house or for those who want to have a higher disposable income.
Its cost friendly
While renting may seem like you’re spending money on a property that will never be your official home, it will actually save you a lot of money in the long run. You won’t have to pay for maintenance costs, such as paying for a plumbing issue, and you won’t fall into negative equity like you can with buying a home.
You can rent while you save
If you plan on purchasing your own home, then why not rent a cheaper property and put any excess into a savings account. It can take a while to save for a deposit, so renting is the perfect solution.
You can road test a new area
If you’re moving to a new area then renting is ideal for discovering what a new place is like. That way, if you don’t like your new surroundings, you don’t have to stay committed in the same way that you would if you were purchasing a home. You could always try renting in various locations, until you find where you want to locate to in the long-term.
You can afford a nicer place
These days, renting is highly competitive, meaning you could rent the property of your dreams for an affordable rate. By renting, you may end up living in a property that you otherwise wouldn’t be able to afford.
Experiencing different types of living
Renting allows you to experience living in varying types of accommodation. You may choose to live in an apartment, bungalow or house, before you decide which property you want to purchase. If you’re unsure as to what property to buy, try renting in both a flat and house to see which one benefits your lifestyle.
Instead of proceeding through more than one house sale, renting allows you to start small and then purchase a property when you need more space. This can work in your favour, if you plan on saving before you buy.