Many people in this country rent homes and apartments not realizing how much money they are just throwing away. All the renters are doing when they rent is pay the landlords mortgage for them so after the loan is paid off in 30 years, they make 100% profit and the renter is left with nothing but their personal belongings. By all means, purchase a home and stop renting.
Stop Throwing Your Money Away
Almost every week I tell people to buy their first home and build some equity in it for a few years so they can sell it and buy a more desirable home. After renting an apartment or home for a year, what do you have to show at the end of that year when you move out of that rental property? I will help you out…you have nothing but your personal belongings and rent receipts. This is the reason that you should never rent an apartment or a house.
The main reason that you should buy a home instead of rent is because you need to not only live for today, you need to think about the future. My mother’s friend is a good example of this as her and her husband lived in the same apartment for over 35 years. They are now in their 70’s and are retired on a meager pension and social security. For 35 years they wasted money, paying rent and have nothing to show for it but a pile of worthless rent receipts. The only reason they can still afford the rent is that their apartment is under rent control and the landlord subsidizes their low rent. However, if the building is sold and the new owner wants to live in their apartment, they could be forced to move out. Unfortunately, they have little savings and no equity cushion as they would have if they instead had bought a home when they were young. I know what you are thinking. You are thinking that you will not be able to afford a mortgage plus all of the maintenance of the new home. You think that renting is a cheaper and smarter route to take when you are young. You are correct in saying that renting is...