Why Pay Rent Anymore – Buying a Home is Easier
The age of millennials is extremely depressing when it comes to owning a home. Ever increasing education loans combined with a rise in unemployment makes owning a home feel like a distant dream. This has caused many people to live their entire lives on rent. This cycle of rent makes buying a home even more difficult as when you keep paying the rent, you keep losing the opportunity of saving up enough money for buying a house. However, the math shows that buying a house is actually cheaper and less stressful than living on rent. Moreover, the readers in Utah would be lucky soon as there are many new homes for sale in Utah. This may give others an incentive to move there. Here are some reasons to show you why buying a house is easier than living on rent.
Sure, buying a home has an upfront cost that is higher that most people can’t afford when right out of college. But here’s where it gets interesting – you can get a really good mortgage on your home based on your credit score and college performance. This mortgage would be guaranteed by the government and hence is completely safe. This FHA mortgage would require you to pay an upfront cost of about 3.5% of your total amount. This amount would be easy to save if you live off rent for a couple of months and stay with your family. Or, you could ask your family to help out with it as the FHA allows gifting.
When you look at it this way, the cost of living on rent for your life would be way less than living in your own home and paying of the mortgage over the years.
This needs no explanation as living in your own home will give you a sense of freedom that living on rent never can. It is so much less stressful to live in a house where you do not have a landlord to report to. You can make changes, upgrades and renovations as you please – it is your own home after all.
Owning a home also gives you a lot more stability than living on rent does. This is because the landlord has the right and freedom to evict you anytime, they please. If you have kids, then living with such housing insecurity can have a negative impact on the lives of your children, thereby putting them in the cycle of rent as well.