Buy Or Rent – Which Is the Best Option?

Some people feel that after a period they should get to the point when it is time to buy a home. But not everybody considers that a must, thinking that renting is the best options for many years to come. So are there advantages or renting instead or buying a home? There are many factors you should consider before deciding to buy.

One of the reasons you should reconsider buying for is that a home purchase requires getting a loan. There are different first-time home buying programs, some more reasonable than others but the common thing is that you need to make a down payment for buying a home. This down payment can vary between 3.5% and 10% of the sales price, but in any case it is quite a considerable amount of money. If you have that money, then you can start looking for a home to buy.

Bad credit is another factor that can make you wait with buying any apartments Boise Idaho. If you have bad credit, that can disqualify you from getting a mortgage. If your credit score is low, you might find it hard to find a source to lend you money and the interest fees and rates will be extremely high. For this reason you might consider waiting for a period of time and doing some changings in your spending habits before buying a home.

Another factor to consider is that the debit ratios are very high lately and lenders change the rules about them all the time. You might consider paying off or paying down your credit cards before getting a loan for a home. If you still have to spend more than 50% of your gross income on bills every month after getting rid of all your credit card debts, then you might want to delay buying an apartment.

If your job is not a secure as you would like it to be, you have found another reason to live in a rented apartment rather than buying a house. Many people go into foreclosure because they lose their jobs and assuring the every-day living for their families becomes more important than paying the mortgage. They think they will pay the mortgage later and this way they go deeper into debts. It is also important to mention that buying a home is way more expensive than renting. In some real estate markets home prices are extremely high and one month’s rent can be 50% cheaper than a mortgage payment. If you are in one or maybe some more of these situations, it might be wiser to pay only rent for the roof over your head. You might just wait for a period and maybe later on you will be in the right condition to buy an apartment of your own.