Buying your own home is the ‘Great Australian Dream’ – isn’t it? Well, apparently not so much nowadays! Savvy young Aussies are fast embracing the notion of permanently renting a home. Many believe that the idea that everyone should eventually own their home is misguided, and that renting provides a load of upsides that shouldn’t be ignored. We take a look at the advantages.
- Location, location, location!
Renting makes it much more affordable to live in that nice and trendy part of town you’ve got your eye on. Let’s face it, buying a home in these popular areas is out of reach for most Aussies – it’s simply too astronomically expensive for all but a few.
- The high cost of buying a home usually means you have to compromise on your lifestyle and where you want to live.
- Renting is a different story altogether, and makes it much more affordable to live where you’d like to.
- You don’t have to sacrifice your lifestyle and needs – you can prioritise them and live where you’d like to, without the worry of a massive mortgage.
- No property maintenance costs.
Council rates? Plumbing or electrical problems? Water supply charges? When you rent, the good news is that none of these costs are your problem.
- It’s up to the property owner to foot the bill for these and any other maintenance costs for the property.
- You just pay your rent, and for your usage of any utilities like electricity, gas and water.
- For anything else, you have the luxury of simply contacting the property manager and asking them to sort it out.
- You can easily change your home as your needs and lifestyle change
Unexpectedly unemployed? Have a growing family and need more room – or has there been a downsizing of your household? Need to move closer to family, the kids’ school, your work or other commitments?
- When you rent, it’s easy to pack up and move on as your needs change.
- You don’t have the stress and costs associated with selling your home and buying a new one – it’s as simple as finding a new rental home, collecting your bond refund and moving on.
- It’s less responsibility
Buying a home doesn’t just require years of saving for a deposit – it also costs thousands of dollars in legal fees, stamp duty, council rates and taxes. And it means you need to guarantee you’ll be able to meet your repayments for around 25 years or so!
- Renting doesn’t come with this level of responsibility. You just need to commit to paying your rent for around 12 months, and aren’t committed any further ahead than that.
- You’re free to change your mind and your lifestyle without the huge overhead costs associated with buying and selling property.
- Renting offers financial and geographic freedom and requires much less commitment and responsibility. Renting means that you’re much more protected from the effects of life’s little surprises!
- It’s cheaper
Renting frees up more of your cash to save for other priorities. Want to take a holiday? Need a new car? Got some unexpected big bills?
- Whatever you need to keep some cash freed up for, renting means you’re a lot more likely to have a little extra to be able to tuck away each week.
Remember – City Finance may be able to help you with a small loan to get your finances in order.
Need help getting the cash together for your rental bond and moving expenses? Just pop in and visit our friendly staff at your local City Finance branch for a chat and some helpful advice, or apply online now!