|
Klauster Properties Ltd - Tenant’s Blog |
|
Rent vs Buy In New Zealand |
|
Is renting better than owning a place? Why is renting more flexible? It is about managing life and also is an exit strategy. |
Does renting give you more flexibility than owning a place?
Being upfront with you – the answer is YES and NO because “Renting and Renting” is not the same! Think about furnished rentals and unfurnished rentals, flats or apartments, renting by room or a lifestyle block. And you can lease a family home.
Would you agree that a bachelor is much more flexible than a head of a family, and a retired person has quite different needs than a career person? People’s choice where to live depends on their circumstances, how many commitments have been made and how they live in terms of lifestyle.
Yes— Renting is more flexible if you think you're going to be in one location for limited time, when changing jobs or living in unsettled circumstances. Renting is often used as escape plan, but it is a compromise, too.
The answer might be NO, when you have succeeded in career, settled a family and reached a certain standard. I think about your social involvement, your friends and family. Your flexibility is compromised by your needs in terms of location, schooling for kids, distance to work etc.
Being more flexible for moving households
means you · don’t have a lot of belongings for an easy shift, · don’t have to care for many people around you, · haven’t many commitments as a single person or a young couple
That type of simplicity hasn’t to do so much with rent or own because even when owning for instance an apartment you could let it to somebody else, when moving to another town.
Look at the financial implications; if somebody has financial constraints and lives on budget then renting is a better exit strategy. People who are financial sound, with a profession in demand and settled lifestyle they don’t rely on escape routes. When you have to move for professional reasons in many cases the employer pays for the relocation.
So, did I answer the question? Not really because renting is not about being more flexible. It is about managing life. Flexibility comes with people’s circumstances. In fact, most people have a spirit of independence and do not like to be told what not to do by somebody like a landlord. Why then would they prefer living under landlord’s command? The opposite is the case— owning a home gives you “the flexibility” that renting never can - the freedom to manage your own space.
In summary · There are many reasons in people’s life where they prefer to rent because renting is better at the time. I think about students, seasonal workers, or even executives on high income. · Another factor is when a family breaks up that is sad and requires distance and time to resolve relationship issues. · If you invest a lot of time in your education then renting is the better choice. A higher income gives you more options to fulfill your dreams when the time is right. Does it make sense?
Klauster |
Tweet
