Most people have problems with deciding whether to buy a property and live there or rent apartments, hotels and other places to rent. Here are some pros and cons of renting a flat.
Pros & Cons of renting a flat
- Moving out is easier
- It’s cheap, but only for a while
- You can save money by renting a flat
- Fixed rent amount
- Less responsibility required
- Paying for no capital
- You will be tied up with contract rules
- There is no guarantee that the lease will continue
- Damage reparations after you move out
- Pet problems
Moving out is easier
A flat is smaller than a house and most of the furniture inside the flat might not be yours anyway. So moving out is way easier than moving out from a house.
And because there are fewer things to move from your flat to somewhere else, you will need a smaller lorry with will cost less and maybe even won’t need one at all.
Some people only own some clothes and a suitcase – that would be me!
It’s cheap, but only for a while
Places to rent are often better to rent for only a short time. If you decide to live in a rented place forever, it’s going to cost you a fortune.
It’s cheaper because you’re not buying the place for your whole life.
Hotels often come with furniture for you to use, these are all bought by the landlord.
Most hotels and resorts also have a public gym and a swimming pool. Yes, hotels are fancy so I doubt you would be renting a room there for long!
However, it’s still not worth your money to rent a place forever.
You can save money by renting a flat
You can rent flats for a short time period for saving money. As I said above, most places own all their electric appliances inside their rooms.
Most people rent flats so they can go to work and earn some money, so they want cheap flats because all they’re doing is saving up some money for a better life, in the future they hope.
Most of the time they spend will be at work anyway, so they only rent the flat for a place to sleep at night.
Fixed rent amount
The amount of money you have to pay for the rent will not change. This way, you know how much you lose for your rent payment and so you can plan your expenses which is a very good thing to do.
It is a brilliant idea to keep track of how your financial side of life is going, sadly it’s not one I am too good at yet!
So if you have a budget, you know exactly how much money you can spend before being unable to pay the rent.
This might get you kicked out, especially if you don’t know the landlord very well.
Less responsibility required
Being responsible is not hard but it is harder than being irresponsible.
If you lack responsibility then renting flat over buying a house is the best thing to do.
Owning a house will require a lot of responsibility since all the home repairs and maintenance needs to be dealt with and that will be your responsibility.
Not only that of course, but you will also need to deal with unexpected new expenses such as house insurance and mortgage payment. Those are just examples of the things people with homes are responsible for.
Cons of renting a flat
Paying for no capital
A big con for renting a flat is that you are just paying for a place to stay, you don’t get to own anything, it feels a bit like throwing money away. It’s like paying to borrow.
Paying for a house, on the other hand, gives you a piece of land, it gives you the ownership of a home. Buying a house leaves your kids something when you die and if not the house then the money for them to invest in something that will leave their children something.
Basically, renting a flat is really a waste. Although owning a house is the harder option, it’s just better to pay for.
You will be tied up with contract rules
When you rent a flat, you need to agree on some rules with the landlord.
To make sure you follow the rules, you need to read the rules in a contract to make sure no one is trying to scam you and sign the contract when all points are agreed.
This allows both you and the landlord to sue you if one of you break rules. Contracts cannot be altered after someone signs it, so make sure to check what you’re agreeing to.
There is no guarantee that the lease will continue
If you are unsure of how long you will rent the flat for, you will only be able to live there for the amount of time the contract lasts.
However, if you decide you want to carry on renting the place then there might be a problem.
Maybe the landlord has made a deal with someone else already and that means you have to leave. So there is no way to be sure that the agreement can keep on going.
Damage reparations after you move out
When you move out, you will have to pay for the damage that the flat has taken when you lived there, you may end up getting ripped off or cheated.
They can charge you a certain amount of money if you break their stuff. If the flat is not made well, then you might break some doorknobs or damage the floor.
Either way, you have to pay for the damage.
If you want or have a pet that requires space such as a dog or a cat then it might be a problem for you.
Some places don’t allow you to have pets for many reasons such as dogs create a lot of noise. If the place does allow pets then that’s good for you, but not for your pet.
Dogs and cats don’t like being in a confined space, they need space to roam. And flats and apartments don’t have the amount of space that your pet needs.
So if you own a pet or want one then I don’t recommend renting a flat.
Renting a flat or any place to live is only a good idea if you are not ready to commit or expect to live somewhere temporarily.
Obviously, if you cannot afford to buy a house because the bank won’t lend you the money as you do not earn enough, then renting may be your only option. Even then you will have to cough up a big deposit in case you fail to pay or break something.
In the long run renting does not cost much more or less than a mortgage but in the long run, the difference is huge.
The house you bought will continue to increase in value, and rents will keep pace with that. So you will gradually pay more and more in rent whilst your mortgage will stay much the same if you can get a fixed rate one.
Bankers and politicians can throw a spanner in the works by messing with interest rates and printing money as they please which can all change the numbers significantly.
Global banking and fiat currencies – the biggest scam to be played on the most amount of people EVER.
What was it Winston Churchill said?
‘Never in the field of human history have so many been scammed by so few’
‘Never, never, never give up’ – WC
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