5 reasons you should rent your first home instead of buying
It is often considered best to get onto the property ladder as soon as possible, however, buying a property isn’t always the best option, particularly if it’s your first home. Whilst buying a home does offer stability and the freedom to make changes to the property, it’s not always the best choice for everyone.
Here are 5 reasons why you should consider renting your first home instead of jumping straight onto the property ladder.
No Large Down Payment
The more deposit you can afford to pay, the better the mortgage deal you are likely to get. Gone are the days of being able to take out a mortgage with a 5% deposit or less. It can take a long time to save up a significant deposit, renting before buying can help take the pressure off and allows you to take your time saving up your deposit.
Flexibility of a Short Term Contract
If you aren’t sure where you want to live long term, renting is definitely the best option. There are fees involved when buying and selling a property so if you did decide to move after buying, you will incur costs. Selling a property and moving into a new one is also quite a stressful experience, particularly if you end up in a chain. If you were to purchase a property with a fixed mortgage, there is likely to be a considerable charge if you wish to sell the property and the end of the agreement. When renting a property, the length of the rental agreement can be as short as 6 months, meaning you are free to move as often as you like.
No Maintenance Costs or Repair Bills
When you rent a property, you are not usually responsible for any repairs that are needed or any costs involved with the upkeep of the property. If you have a plumbing problem, an issue with an appliance or if there are any external repairs needed, your landlord will pay for this.