15 Jul Renting Verses Owning
Often, we heart that it is better to buy than to rent. How do you know if owning a home is better than renting one? There are some things to consider, such as determining how long you will be living in the area, likelihood of taking care of your own maintenance, and the amount of money you earn.
Today, Deborah Elliott-Shultz provides a glance at what the cost per hour of renting a home in the Colorado Springs, Pueblo, and Denver areas. Siting the National Low Income Housing Coalition (nlihc.org), we see that for a one bedroom apartment a person needs to earn at least $14.70/hr in Colorado Springs, $11.60/hr in Pueblo, and $19.80/hr in Denver over the course of a 40 hour work week. In all three places, there is high demand and low inventory for housing. While apartments are being built, the cost of housing is expected to remain high.
This can seem overwhelming and almost impossible to overcome. What does a person do if they can’t afford this? The first idea is to go to college and get degrees. Another idea is to live with family members to save up money for a downpayment to buy a home. You could also rent an apartment in Pueblo and commute until you are able to save up enough money.
How do you get the information you need to make a decision about the next step? Speak with a lender, such as Ryan Herbig of American Liberty Mortgage, to find out whether renting or buying makes better sense. If you have more questions about what it would take to buy a home, you can contact Deborah at (719) 641-1357.
When you pay rent, that money just goes to the landlord. When you make payments on a mortgage, the property value of your home generally goes up. Remember, buying a home is making an investment in your future.