Having pride in your home, making it look nice, doing renovations, yard work, and doing what you want with your house. In 30 years, not owing the bank for your home.. and being able to say this land is yours!
Cons of Homeownership:
The expense of the upkeep of the home is your burden. Mortgage payments, insurance, property taxes, and if something breaks, you gotta fix it! You can’t move unless you live in an area that is known for fast sales.. i.e. In the area where I grew up, homes generally went off the market in hours.. before and after the bubble!
Pros of Renting:
Its easier to get out of a lease than it is to sell a house. You can move on a whim at times, and you can see more of the country by moving around a bit.. and learning about new locations. It also allows you to scout out an area before you buy. If something breaks, you don’t have to worry about it, you can just call the landlord and have them fix it.
Cons of Renting:
You never really own anything, and all the money you spend goes right into the landlord’s pocket without actually going toward anything except for the roof over your head. Sometimes you get a bad landlord, and an area you thought was nice, wasn’t. Sometimes you get a bad roommate too. Moving from place to place can be a bit of a chore sometimes if you are a chronic mover (like me!) and it can take a bit sometimes for the landlord to fix things!
More affordable in most cases, certainly in NYC. . . don’t forget to factor in the monthly assessment and utilities.
Problem with owning rather than renting is loss of flexibility. If you want to move, you have to sell, have to find a willing buyer. Right now is a GREAT time to buy, but it’s very difficult to sell.
First compare the monthly rental rate to your principal, interest, taxes, insurance and condo association monthly maintenance fees. With ownership you build equity, with renting you do not. Since there is no better place to own Real Estate than the NYC area, your risk of depreciation is less than others.
Whether you rent an apartment or buy a condo, the neighbor part will be the same. NYC’s renters and owners are high earners, so the class factor should be there. Also, whether you rent or buy, you should have either renters or homeowners insurance. You will also need title insurance if you buy.
If you’ve got ample savings and a high paying job and the condo is priced right, I’d say your clear advantage is in buying.
PROS AND CONS of Owning:
You are paying towards somethng that will eventually be yours.
You get to do whatever renovations you wish.
You have to pay property taxes yearly.
You have to have homeowners insurance and pay the premium yearly
You have to be approved for a mortgage.
You are subject to tax liens should you not pay your taxes.
If ANYTHING breaks you are the one that is responsible for fixing it.
anyone you want can live with you.
PROS AND CONS OF Renting:
You are paying and never owning the property
If something breaks you make a phone call.
Usually don’t have to worry about tending to the yard or maintence on the place.
You can’t easily make changes/renovations and are subject to contract/lease agreements as far as terms.
Usually there are stipulations as to who lives in the place with you.
You usually have to ask everytime you want to put a hole in the wall.
Pros of Homeownership;
Having pride in your home, making it look nice, doing renovations, yard work, and doing what you want with your house. In 30 years, not owing the bank for your home.. and being able to say this land is yours!
Cons of Homeownership:
The expense of the upkeep of the home is your burden. Mortgage payments, insurance, property taxes, and if something breaks, you gotta fix it! You can’t move unless you live in an area that is known for fast sales.. i.e. In the area where I grew up, homes generally went off the market in hours.. before and after the bubble!
Pros of Renting:
Its easier to get out of a lease than it is to sell a house. You can move on a whim at times, and you can see more of the country by moving around a bit.. and learning about new locations. It also allows you to scout out an area before you buy. If something breaks, you don’t have to worry about it, you can just call the landlord and have them fix it.
Cons of Renting:
You never really own anything, and all the money you spend goes right into the landlord’s pocket without actually going toward anything except for the roof over your head. Sometimes you get a bad landlord, and an area you thought was nice, wasn’t. Sometimes you get a bad roommate too. Moving from place to place can be a bit of a chore sometimes if you are a chronic mover (like me!) and it can take a bit sometimes for the landlord to fix things!
Lack of privacy. . . .noise. . . neighbors. . . restrictions
More affordable in most cases, certainly in NYC. . . don’t forget to factor in the monthly assessment and utilities.
Problem with owning rather than renting is loss of flexibility. If you want to move, you have to sell, have to find a willing buyer. Right now is a GREAT time to buy, but it’s very difficult to sell.
First compare the monthly rental rate to your principal, interest, taxes, insurance and condo association monthly maintenance fees. With ownership you build equity, with renting you do not. Since there is no better place to own Real Estate than the NYC area, your risk of depreciation is less than others.
Whether you rent an apartment or buy a condo, the neighbor part will be the same. NYC’s renters and owners are high earners, so the class factor should be there. Also, whether you rent or buy, you should have either renters or homeowners insurance. You will also need title insurance if you buy.
If you’ve got ample savings and a high paying job and the condo is priced right, I’d say your clear advantage is in buying.
PROS AND CONS of Owning:
You are paying towards somethng that will eventually be yours.
You get to do whatever renovations you wish.
You have to pay property taxes yearly.
You have to have homeowners insurance and pay the premium yearly
You have to be approved for a mortgage.
You are subject to tax liens should you not pay your taxes.
If ANYTHING breaks you are the one that is responsible for fixing it.
anyone you want can live with you.
PROS AND CONS OF Renting:
You are paying and never owning the property
If something breaks you make a phone call.
Usually don’t have to worry about tending to the yard or maintence on the place.
You can’t easily make changes/renovations and are subject to contract/lease agreements as far as terms.
Usually there are stipulations as to who lives in the place with you.
You usually have to ask everytime you want to put a hole in the wall.