There are so many benefits of owning a home vs renting one! Buying a home offers stability, the potential for equity growth, and the freedom to personalise your space however you want to. It gives you something to invest in and a community to be a part of.
So, if you’re looking to get out of renting, and take that first step onto the property ladder, here’s all reason why you should!
Owning a home can often work out cheaper per month than renting. When house hunting, you’re likely to find that in some areas your monthly mortgage repayment cost is lower than renting.
Plus, homeowners pay an average of 26% of their total earnings on their mortgage whereas renters are paying 28.3% of their total earnings for the equivalent property^.
Based on the UK’s average salary, that’s a saving of up to £763 per year!
When you buy a home, you’re investing your money more wisely!
The money you pay monthly towards your mortgage builds equity making your home a valuable long-term investment. Every mortgage repayment you make brings you closer to no monthly payments.
Plus, if your home appreciates in value, whether due to a buoyant market or improvements, you could profit upon selling it in the future.
Another benefit of owning a home is that unlike rent, mortgage payments are added to your credit report since they're reported by your lender.
If you pay your mortgage on time every month, you can improve your credit score.
When you buy a home, you can fully integrate into a community. You have the security and stability of knowing you’re not subject to possible rent increases or eviction.
You have the guarantee of knowing that the home is yours, and that you can settle there for as long as you wish.
Another huge benefit is having the freedom to decorate your home however you like when you like!
You don’t need to ask a landlord for permission to paint a wall or plant things in your garden.
Many landlords do not allow pets in rented homes. One massive positive about owning a home is that you can have a pet dog or cat without needing to seek permission from a landlord!
A study by the HomeOwners Alliance which compared renting with owning a home indicated that 91% of homeowners feel their home contributes to positive wellbeing, compared with 79% of renters.
What better feeling could there be than the excitement of purchasing your own home?! It’s such a huge achievement to be proud of.
^Based on ‘Rental Marketing Report – June 2023 from Zoopla. Average person is paying 28.3% of yearly pay on rent vs 26% on mortgage payments. *Savings based on UK median salary of £33,176 according to ONS. YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. Avant Homes Group Ltd and its subsidiaries do not provide mortgage advice, however, can introduce you to an intermediary IFA member who will be able to provide independent financial advice.
