Making the decision of whether to rent or buy a home is a complex one, which is why talking to a CeMAP qualified mortgage advisor can be helpful.
There are so many factors to consider when deciding whether buying is the most suitable option for your circumstances, such as which will be cheaper, the flexibility of the terms, and security. Although previously, it may have been cheaper to rent a property, today’s low interest rates mean that you could save money each month with a mortgage. However, interest rates can increase, which means that your monthly repayments will also go up.
One of the first considerations is whether you have a sufficient deposit to buy your own home. If you have a smaller deposit, you will have to borrow more, which could mean that you end up paying a higher rate of interest. On the other hand, you only need a small deposit to be able to rent a home. Your income will also be a factor in the decision-making process, as this could affect the amount you can borrow, plus being able to afford the monthly repayments.
If you are looking for a long-term home, buying may the preferred option, as it will offer some security. When you rent a home, they are often on a short-term basis, and the landlord may decide to sell the property at any time.
Speak to a professional before you make a final decision, as it is complex, with many pros and cons to consider.
