Alice Kuder


Is Home Ownership the Right Choice for You?


It's probably safe to say that most people want to own their own home.  Home ownership is, after all, referred to as "The American Dream".  Nevertheless, the desire to purchase a home should not be assumed or taken lightly.  There are many pros and cons associated with renting versus purchasing, and it?s wise to consider them all before making your decision.



Advantages of Renting

Advantages of Ownership

Freedom to change place of residence on short notice

Added tax deductions to reduce tax liability

Tenant-Landlord laws protect your rights

Build equity (a form of savings)

Fixed rent during the term of lease

Appreciation over time (gain in value)

No direct property tax (included in rent)

Ability to borrow against value of home

Landlord is responsible for major repairs



Opportunity to develop community


Fixed payments over course of loan


Freedom to decorate/remodel as you wish



Disadvantages of Renting

Disadvantages of Ownership

No equity accrued from rental payments

Less mobility

Need for permission to remodel/redecorate

Pay for upkeep/improvements

Rent can go up with short notice if no lease

All repairs are up to you

Possibility of eviction or sale by owner

Possible yard work

Landlord makes the rules

Lack of asset liquidity


Property tax increases


Which way do the scales tip for you?