Home Ownership 101: How Much will It Cost to Buy a House? Or to Rent?

Throughout the years, people have considered purchasing a house as one of the biggest investments in their lives. However, if all is poured out on having a house, there will be less money for other future expenses or leisure.

Renting

With renting, always try to remember that the renting cost will inflate in some period of time. Individuals usually rent their houses to move freely from one place to another. Added to that, renters do not have to break a sweat or need to pay for their maintenance, lawn care, or house repair, Our Family Place reported.

Buying

If you have made up your mind and have decided to purchase your own house, keep in mind that it is you who will be paying for all the maintenance and repair services that your house will be needing.

Renting is for people who want to live in shorter periods in certain areas with a low cost type of living. However, those who choose to live in a place for a longer period of time should consider purchasing their own home, while taking into consideration that it will cost much more dues because of escrow fees and taxes. Most importantly, the buyer should keep in mind that it will take time to complete amortization.

One advantage of owning a house is that you can earn money from it over time. It might take a while for this to be realized, but in the right time and market, you can make much more than what you have spent in buying and maintaining it.

After thinking over and realizing that having your own house is the best choice, determine how much you are willing to spend for it. First, determine all the expenses, fees and mortgage that have to be paid regularly.

You can use an application like Smart Money's "How Much House Can I Afford" calculator to help you determine the due expenses. Be informed that if you have enough money, go buy a home. Regardless of how everyone sees it, it is one of the best investments which people can achieve over time.