Buying a house is one of the most important decisions you can make to start acquiring assets and to build up equity. AmeriSouth Mortgage Company is Charlotte Mortgage lender that can help you start that path. A lot of people get intimidated when hearing stories about people losing money after buying a house. Honestly, buying a house is easy and can be very profitable – much more profitable than paying your landlord’s mortgage to have a roof over your head. Let’s analyze some of the pros and cons of renting vs. buying.
What are the pros of renting? There are some, but they are inferior to the pros of buying. One of the biggest pros about renting is that you can usually have bad credit and still rent. At AmeriSouth Mortgage Company, we are more flexible than most lenders in the region, and we have a program to give loans to home buyers with bad credit. We look at more than a credit score in determining if a loan applicant gets approved or not. Ultimately, we still have guidelines, and our flexibility is not without limits. If your credit is horrible, renting is a good option while you repair your credit.
One of the other obvious benefits of renting is that you’re not tied down to a mortgage. While mortgages have many advantages over renting, you need to make sure that you’re ready to commit to a mortgage for the long run. Also, when you rent, you will pay no maintenance costs for the property, and you don’t have to worry if the neighborhood depreciates because it’s not your house.
A mortgage allows you to borrow the money you need to buy the home of your dreams. Usually, with a relatively small down payment, you can buy a house that you might not have enough savings to purchase by yourself. Over time, with faithful payments on your mortgage, you can own your home. This is much better than paying rent because rent costs more than a mortgage does, and you still don’t own anything in the end. With a mortgage, you can do with your house as you see fit. With rent, you’re usually sharing your walls, ceiling, and floor with other tenants.
When you buy a house, you are building equity, unlike when you rent. If the neighborhood your house is in appreciates, you are the one who will benefit. Home buyers enjoy having creative control to decorate and renovate the way they choose without asking permission. Plus, you never have to worry about being asked to leave (as long as you pay your mortgage). You could rent a home for years and be asked by the landlord to leave one day if he/she decides to sell their home.
Is Renting or Buying Best for You?
Of course, there are some cons about buying, such as having to qualify (meaning you have to have enough income and good credit). You will also have more secondary costs when you buy, such as taxes, insurance, and maintenance. You know your situation better than anybody, and only you can decide whether renting or buying is right for you. If you are looking for a trusted and affordable Charlotte mortgage lender, AmeriSouth Mortgage Company is here for you.