Why I Rent My Home, Not Own

Great hub! I learned in my finite mathematics class that if you have a house purchased at say, $350k, and you get into a fixed rate, 30 year loan for around 5.5%, you will end up owing (sp?) just a tad over $800k at the end of the loan.

Talk about compounding interest!

Thanks for the great read :)

You make a very good case and I think you have me dissuaded - of course, like most everybody else i dream of having my own patch of land. So what do I do with my savings now? Are you up for a party?

Thanks for sharing an enjoyable read :D

Hi Jama! Good case, you could be a lawyer :-) Seriously, I think you make good points in favor of renting, many of them are the reasons I rented for long. Also, for me renting always was about experimenting whit the type of place I'd some day like to own :-) I rented a variety of apartments back when! As for owning, I'm not really going to avocate on its favor, to each their own, suffice it to say that there are also some good reasons for investing that way :-)

LOL i know it's yours - my! i have never seen anybody more aware of her tenancy rights that you! which is a good thing :D

As for the party, i might contact THE surgeon for he def knows how to throw one, Weekend is good :D

Owning is a double edged sword, I'll grant you that Jama-- but if you time it right, and property values go up, you can make a tidy profit--oops I suppose I should say could have made because those days seem to be gone forever LOL.

I've both owned and rented and must say that it's great not to have to worry about leaking roofs. Your landlord sounds better than mine ever was about fixing things pronto. I was without hot water for a week once when the hot water heater went poof. On the other hand as a homeowner I've waited days for a repairman to even return a phone call so I guess it's a draw--great hub. fabulous writing too:-)

Although I enjoy owning a house (I bought a small little cottage affair, very cute and irish, and not over budget), you are certainly right about the maintenance crap. It's one thing after another...something major every year it seems. Many times I've wanted to chuck it all.

Thanks for a geat read. (Your apt. sounds great. Need a roomie?)

Jama, who treats you like a second-class citizen, give me names, I'll make it look like an accident! Laugh! Yes, I'm in that place with the beautiful views, and I OWN it, YAY!

I'm with Elena, and it's posse time to take care of business (the accident) on that booger who makes you feel like a second-class citizen!

Very good argument for renting. I've done both, and I suppose, for me, it mostly depends on if you're lucky enough to have a good landlord. Like you, I think I was very lucky in the past regarding landlords. :) Glad to hear you have a good one!

Nice as always Jama! :D

Hey Jama, that's a great take on the benefits of renting (or "not buying")! I think you've been very lucky to be paying exactly the same rent as the day you moved in. With all of that maintenance work, I would have pushed up rent over the years just to keep up with inflation (at least).

Maintenance can be a pain, but you actually pay alot less for a mortgage than you would for rent on the same space, which is why people own rental properties. For instance, in the complex where I own my condo the rent averages over $800 for people who rent out to tenenants, while I pay about $540, plus around $120 for association fees (which pays for landscaping, water/electric on the exterior of the houses, and new paint and roofs every four years). I think over time it averages out to at the very least a stalemate. The one big advantage of renting is that, if you should have some sort of financial issue, you can simply walk away without all the financial ramifications of a mortgage. And that's no small benefit.

A wise and well put hub. The only way owning a home doesn't suck is if it is paid off. Even then, it can get very expensive.

Jamagenee, I agree that owning a home in the city or suburbs is not an investment -- its' an added expense. Owning a farm that not only gives you a place to live, but also supports you, is a completely different story. That is what the American dream was about once. Not just home ownership, but self-employment and independence.

Some people think a home is an asset but by the strictest definition it's a liability unless it creates income.

Having said that, even with the credit crunch the average Joe who bought their house more than 10 years ago will have created the best opportunity they will have in their lives to create a degree of wealth.

This is one of the best hubs that I've read in a while Jama, and you make a lot of sense. I too am a rentor for many of the same reasons that you are. Owning a home can be a headache! It's not for me, at least I'm not feelin it in the least bit currently. However, it may be for some people, especially for those that are married with kids. An apartment just might not do it for people in that situation.

I admire you for your choice which is right for you. Me? I can dig an Emu for a Luau, put in my garden, have dogs, parrots, cats grow fruit trees, and many other things that I could not do as a renter. I have lots of trees for wildlife, serenity and privacy with a very nice flagstone patio with pond and water fall and it may belong to the bank for now, and yes the taxes are heavy, but that's what we have chosen for our home. Good hub dear.

Good case you have made here, but I'm still leaning toward owning my own little acre in the woods so that I can do whatever I want with it. I'm looking forward to knowing it is mine.

Sounds like you made the right choice for yourself. We did the 30 year thing, with a low fixed rate. Had a nice  house with a big yard for pets and garden. Neighborhood schools were good.  It was a good place at the right time.

Good hub to outline the advantages for many people.

When we sold, we had enogh to buy three acres  in the woods, and build a house to our own plan. We had money left over. We felt the investment was worth it. We do have property taxes and some maintenance, but no mortgage.  In the past 12 years values of property and homes  in our area has gone up, more than double what we paid even with the recent downturn.

For us it feels like some security for retirement. When we retire from life, the kids can sell it or live in it.

I never plan on buying a home unless I come into millions of dollars. Right now I am still at a point in my life where I may move again, even though the two years I have been at this apartment is the longest I have been in one place. I enjoy renting because it gives me the flexibility and simplicity of life. Also, I really am not big on home repairs and like having maintenance people come to do basic repairs, even though some of them are really slow about getting around to it. It still beats having to do it myself.

Yes,I agree with you on this subject.Now let me tell you why.My wife and I bought a nice 2 bedroom home in San Leon Texas.We have been here going on five years.Last year our home was totally destroyed by Hurricane Ike. After that of being victims of a natural disaster,you would think that we would get help.If you think a Fema trailer is the fix. We got cheated by the ins , co. Then we had to get public adjusters to help get the rest of the ins, money.Well, the Mortgage company put's us through the big run around.We are just trying to pay off this pile of dirt.They(Mortgage company)try to add on more costs even after the fact that we have lost the entire home. To me,this does not seem fair.Yeah, the American dream my eye.My message to those that want to buy a home,Pay Cash and buy it out right.If the American Dream is to raise a persons blood pressure then it works great.To me,working all your life for a mortgage company is insane and we wont do it again!

Very nice hub JamaGenee. Excellent points. I never wanted to own a home, until I did. And even then I had my reservations, for many of the reasons you outline here, and more. But then one day, the perfect house came along, and just in time. Now four kids and four pets later, not to mention my growing love for making changes of the kind you can't do when you rent, I know that owning was best for us. There is much to say about renting though. Would I go back and do it all over differently, and stuck to my guns about renters' freedom? Maybe. Who knows. My life would have certainly taken a different turn.

Thanks for the great hub.

Great hub JamaGenee. My husband and I with 4 kids rented up until Feb 2007. We lived in Australia, India, West Coast and East Coast of US. We actually moved 19 times during our first 20 years of marriage. Sometimes we wanted to move and sometimes the house we were renting was sold so we were forced to move. Sometimes they put the rent up and we didn't feel it was worth it so we got a better deal somewhere else. The freedom of being able to travel and move around was great, however, the uncertainty of how long we could be somewhere always made us feel a bit unsettled. Our Landlords were not always accomodating when it came to fixing broken things, usually my husband had to do it anyway so it would get done. we could never make the home feel like ours and I really do not like living on carpets that others have lived on.

There are good and bad points about both renting and owning. After we bought the home we had been renting for 8 years, which had been sold twice and had the rent raised each time, we decided we would rather buy the home than have to move again. So we did. Soon after we bought it a friend told us about a program they were using to pay off their mortgage in 1/2 to 1/3 the time with little to no change in their budget or lifestyle. I like math and I like puzzles so this intrigued me. We went and checked out the program at their home over dinner and some very smart guys figured out how to use the current banking systems and interest calculations to bank like a  bank instead of a consumer. Therefore, we are now paying off our thirty year mortgage in 15 years and savings a hell of a lot of interest at the same time. So, no one can take their wealth with them when they die so it  you don't need much and you are happy where you are, there is nothing wrong with renting But, now that I have found this Money Merge Account program, I think buying gives one more of a sense of feeling home and freedom to do what you want without the burdon of paying the bank for 30 years and without paying too much more in interest charges compared to the traditional way of paying a mortgage off.

Not owning a home for the time when the kids were growing also had the advantage of being more eligible for financial aid for their education, so they all went to private schools or colleges over the years. They all went to like 9 different schools because of all our moves.

I wish I had someone to mow my 1 acre.....and you have 160--mow-free!!!???!! I'm missing out!

I can't afford the picket fence because of the compounded interest.

My next-door neighbor drains his pool in my yard and trains his dog to poop there, as well.

Any vacancies in your building?

JamaGenee, Great Hub. Certainly and alternative view but most certainly valid. A common mistake people make is to assume a home is always a good investment. Our current economy is an example of the contrary. Getting into a house and having no additional income for repairs, maintenance, etc is a big mistake. Another fallacy is the assumption that values will always go up and getting in on 100% financing is a good idea. When the values go down you are stuck. Home ownership is not for everyone and you make a great case for renting. Fantastic info, thanks for sharing.

I have to agree with you here. I own a condo in NYC - and guess what? When the dead beat other owners do not pay their maintenance - guess who has to take up the slack - or we all go without heat and other services? Or when I want to sell and leave - guess what? I can't. Because we have lost our certificate of occupancy because one owner decided to make major renovations which violate the city's dept. of building codes. No bank will lend to a buyer if the building does not have this C of O - so you cannot sell unless they have all cash.

Of course I bought in the right place and certainly at the right time because my home value has quintupled in the 13 years I've been here. Economically, I will come out ahead financially - maybe. But then I have had to pay a fortune in maintenance and an extra assessment - then a 2nd emergency assessment.

I don't recommend converted condos because there are so many legalities involved - and too many extra fees you have no control over. And sad but true, Americans are the most litigious - and we certainly can't live together as strangers and treat others fairly.

There is a lot we have to change about home ownership in the USA. The inflated prices for these poorly constructed, thrown up houses on the market is a bad joke. It was inevitable that the housing market would crash. That proves that something is seriously wrong with homeownership - largely the fact that we have deregulated banks - and then expect to be treated fairly.

Thanks for giving us much food for thought. Sometimes I feel like we have become sheep - just going along with the program because...and we don't even do the math. Sigh!

The buyer needs to be wary... but I still think it can be a good investment, depending on the times and circumstances.

Its only a good thing to rent, if you can afford to rent a decent place or at least are smart enough to recognize what is decent. i was not that lucky growing up in a horrendous tenement with a slumlord. my parents thought they were getting a good deal but years later finding out that people payed less in mortgage than what they payed for this tenement with no ammenitys, rats, asbestos you name it it was there. I did learn from this, i made sure i owned a home before my children were born so they would have nice things and not have to remember bad things like me. plus if you buy a home that is manageable and not really big, it is not hard to take care of at all.

Good hub, but I won't let my husband see it, or there will be a "For Sale" sign in our front yard within the week. :-)

I wouldn't rent again for quids Im lucky I guees I own my house but I have rented in the past been there done that never again .The constant rental inspections having to ask owner premission to do anything to the house or the garden plus The owner might want to sell the house you are renting and you have let buyers come though the house at inconvenient times also you have to pay a grand plus to move into another house and there's the hassle of trying to find a place to rent which in Australia is getting rather hard and expensive at the moment .Just my thoughts great hub

wow great hub....and great explanation....i am agree with you about this rent things....

https://hubpages.com/art/Worlds-Most-Expensive-iPh...

I don't think owning is quite as bad as you make it out to be. Having said that, it helps if you are able to finance most of the property yourself. A big loan can be very problematic.

The US housing market is a basket case at the moment, but generally your home is a very safe investment, as aposed to bonds and stocks.

well now in the us is best to rent because owners are getting their house away!! cause they cant pay it

You made some very valid points... but what about the equity you would have earned after all these years? Well... aside from the last couple :)

I agree that renting is better. I sold my house last year and it's such a relief after dealing with falling branches and a moldy basement. I'm a single woman and was not always equipped to fix things that went wrong. I do miss the yard though, so does my dog.

There are many that take this thought one step further and caretake homes instead. Many wealthy second home owners will allow someone credible to reside in their home to take care of it while they are away.The only real drawback is having to move out everytime they want to use their home.

Renting almost always makes more sense in the short-term, and I agree is certainly easier! It's the long-term view that made me buy my first house in 1994. Rents had doubled in Seattle the previous 10 years, and I knew that if THAT happened again, I would have to leave Seattle! We bought a simple little home. In the next 10 years, rents DID double again, and I sold my house for a profit of almost $100k. Best move I ever made.

Yes, I know that the "Truth in Lending" statement that shows you how much interest you'll pay looks scary, but to me, the most frightening thought was paying rent for 30 years and having nothing at the end of it.

You sound like very nice girl, buying your Landlord a home! At the end of 30 years, your Landlord can sell a free-and-clear home worth 4 to 8 times what they bought it for (which can buy a heck of a lot of "freedom"), and when you get your notice to vacate for the new owners, you'll get your deposit back (with no interest, less cleaning costs).

Life is full of trade-offs. Sounds like you've got a sweet deal now, so do yourself a favor and save up some of the cash you're saving by renting for the day it turns sour.

Hey i really thought this was interesting and i loved reading it!  I feel exactly what you are saying but things aren't always that cut and dry.  I hope you will let me add a little to your story because i can see from both sides. I am happy to say I am a proud property owner  because it was one of the most difficult things I've ever had to deal with. I felt like i grew a lot during the experience but can't always be sure i would do it again. my wife and I have had to go through the ups and downs that come along with it and they seem to be a life long thing your signing up for.  We bought our place 2 1/2 years ago and spent a crap load of money making it Home. We got a multifamily building and have three tenants,  all of which are great tenants but have annoyed the hell out of me at some time or the other. There are so many times when i think damn, i wish i just rented a place.  Other times i realize that buying this property and having other people pay my mortgage has afforded me to not have to worry about paying my mortgage while living in a 2,100 sq ft 4 bedroom apartment with my family for pennies. You have to always see what side means more to you. I don't think buying a one family house is a good idea unless you can afford to easily pay it, but that's because I'm partial to my choice.  But Remember there are people that have a couple kids that want a back yard and two cars and a garage and be able to wash their car in their driveway. Those are things you usually don't get when renting. 

Basically this home ownership thing needs to be thought of as a business. as a person i am the type to want to be the boss at work and own my own company.  It's the same thing!  There have to be people that own the company and there have to be people that work for the company.  look at it that way. Even businesses owe a bank money. owning a house is the same as owning and running your own business. trust me the boss stresses more than the employees.  and I'm not talking about the owner of AOL or Steve Jobs who have tons of Grey hairs as well, but the owner of a small fast food chain or  Online store that make a good living but also have the stresses of running it. First you have to make a wise choice choosing your business, meaning buy a property that's worth buying.  As a landlord your tenants are your employees and you have to take care of them for them to take car of you.  It just depends on the type of person you are.  And please don't think that when i say employee mean someone that just works hard and doesn't get paid well, I also mean employees that make hundreds of thousands to millions of dollars a year. It's all about the type of person you are and the amount of work your willing to go though to get whatever it is that YOU WANT.  Fortunately for everyone there is no wrong or right side. But remember, the real question is do you wanna be the boss or and employee.  Both are viable options.

Also remember,

it doesn't matter what your house is worth if you like it and people are paying you to live there!

I read your hub today - while waiting for a decision on an offer I made on a house! I hear you on the reasons not to buy, I have really enjoyed renting. I just can't NOT take advantage of the opportunity to buy a house when prices are at an all time low.......

just as I thought owning is much more expensive than renting a home. Once youl have your own house you can't get away from those property taxes and all other factors that requires you to maintain your own house while when you rent a house the landlord usually are responsible for the house maintenance.

We have our own home and own a Dormitel and still we are responsible in cleaning or maintaining our Dormitel when minor problems occur such as plumbing or electrical wiring.

Great hub. This way of thinking is gaining in popularity as people see families going to the wall.

Did the universe send this hub to me?

I've been under a lot of stress recently, trying to decide what to do in a time fraught with difficulties. I've lived in my home for 25 years. When I went through a divorce 12 years ago, I thought all I wanted was the house and I saw renting as backsliding. Eventually I paid off the mortgage but at the expense of not doing much maintenance.

A little over two years ago, I took out another mortgage, which allowed me to have a few things done, like putting in energy efficient windows. But now that I'm really feeling the need to leave for other parts, I'm being told that without granite counters, hardwood floors, and the complete remodeling of kitchen and bathrooms (for which I have no money), I'll be lucky to walk away with $20K.

Twenty-thousand dollars in 25 years - and I never saw it coming. But you've made me see that renting can be a godsend. When I do have to go (one way or another), I'll do it with much less depression than I'd been feeling before reading what you've so eloquently written here. Bless you for that, JamaGenee!!

I love what you had to say about renting.I think renting has it's good points and it bad points, in all your right on key with it all.

I love this hub -- you are soooo right. Of course, there are cases where folks would be daft NOT to buy, if they can buy outright, that is -- and have no mortgage, no rent: just taxes and maintenance. I'm being crippled by mortgage payments on a house I can't afford to live in (I rented it out, and am now living in a camper in the yard).

Yep. If this market ever recovers, I'm going to sell up.

Yeah that also your own opinion.

We were homeowners however that is a story in itself and we were definitely robbed of it, so we are now renters and it is definitely a breath of fresh air. Being a homeowner has its wonderful points as you can paint and re-decorate to your liking and you have some great tax breaks, however being a renter allows you to not worry just like you said, about the person who may slip and fall or having to replace an AC as we did on our home when we were homeowners, do I miss our home sometimes but I certainly do not miss the $3000.00 a month mortgage due to an arm re-setting continually so now we enjoy $1000.00 a month one level instead of two and 500 square feet more then we had. Talk about a bargain. Great article and it makes me feel honestly happy that we are now renters. :)

Wow, $1000 a month sounds terrible to me-- we paid about $250 a month on our original mortgage-- of course , in the beginning that was about half a month's income. It wan't easy. It got much better as income went up, and the payment was fixed, not adjustable.

Also we borrowed $500 dollars from each of our parents to add to our savings of $2500, to make the down payment. It took awhile to pay our parents back, but we did.

I'm really glad we don't have payments now.

Hi Rochelle, Our actual mortgage on our home was $3000.00 with an arm that kept re-setting we tried the loan modification with JP and they took our $6000.00 to modify it, what is quite interesting is that we were not behind on the payments I called daily asking about the modification and they said it was fine, we left on a mini vacation and when we came back our locks had been changed so we stayed in a motel and we were frazzled!! On A tuesday we had found they auctioned our house, we never received notice etc. When speaking with JP Morgan they noted bank error and stated they could do nothing as someone bought our home and paid cash at the auction. They sold it for 101349 we paid 259,900 we hired an attorney and we broke into our home to remove our belongings and all of our appliances and everything that was not attached. Till this day we still have not received a letter saying our home was sold and our home is still in our name. To us there is something shady that happened and I am certain that there are others out there, it may take us 5 years but we will win this case, so now we pay $1000.00 for rent. You were lucky to live in a time where life seemed easier and purchasing seemed more simple. So there is my story.:)

Yes it was much simpler. We knew what we were going to pay. These adjustable things are really fishy. Also we KNEW there was no possible way we would run up any other debt. We only bought a car when we could pay cash.

Good luck in your legal wrangle-- I don't envy you for that.

This is a great hub! I agree 100%. I have always rented... most recently for 7 years in San Francisco, for 2 in Orange County, and now for a year so far in Los Angeles. In expensive places like these, it is sometime a better deal to rent. Even now with prices dropping... the crash has made it so you actually need a down payment!! And coming up with 30-50K, especially in a housing market that might never see better days... or anything close to what we have, is not easy!

And for all of your reasons... I did not have to write a check for $700 recently when our water heater went out!

Plus I can live in a big city, with all of the cultural amenities and such, and not have to move to some sleepy boring place with no character just so I can own a house! How lame.

These days, I find myself wishing that we rented instead of owned. With a mortgage established in 2006, we have literally seen our investment of more than 20% down disappear, and then some. Hopefully we can regain when (if?) things turn around. It could be a long 5-10 years though....

In a different economy, I may have not have agreed wholeheartedly, but after the circumstances of the last two years, my thinking mirrors yours completely! Thanks for the perspective enhancer.

Great hub! I do plan to own my house when I get older, but not because I think of it as an investment; you spend way more money on a house than you get. Your points are all GREAT.

Personal finance guru Robert Kiyosaki, who wrote Rich Dad Poor Dad, says that if your house is your "biggest investment" then you have a big problem. That's definitely a widespread attitude in the ownership-obsessed United States, and it's one that has recently proved his point very eloquently.

Thank you for saying what I feel also about "Life On Earth"... I too am a happy renter and will be until I accumalate my first $7. cazillion... Many smiles to ya.

Sami Brooks

very informative hub

JG

The is no doubt that renters did better than home owners in the last few years.

Most of their home loans were worse than rent.

BTW, you can get white picket fences from Home Depot that never require painting.

some very good points. renting is indeed a great deal depending on what you want. especially right now. House prices have more value to lose, so anyone interested in buying a modest home in a few years should get a great deal... if they want to put up with the hassles that homeownership entails.

I have owned three houses in my life, and each time it ended badly. I am a renter now, and very happy not to have the responsibilities that come with homeownership. Thanks for the great hub.

Your thoughts on home "ownership" are exaclty mine! Good for you! It's like the late, great George Carlin said, "it's called the American dream because you have to be asleep to believe it!"

Perhaps I have just been lucky, I have always owned one or more homes and really reap the rewards.

Recent experience was purchasing two houses in California, just before the boom started. I lived in one and rented out the other, the rental purchased brand new. I sold both houses four years later for around twice what I paid for them, just before the property crash. For four years the rental was paid for by my renters and the repairs I made before sale, were a fraction of rental income after interest.

Again lucky, I purchased a new home far away from California, where the property crash is not very significant, so I have not lost much of my gains in the new property.

Bad timing, it could have gone the other way for me and cost me more than a lifetime of rent.

Being the king of your own castle has psychological value though, I can create, build, break down and thrive as I wish in my own kingdom.

Eventually free market principles will always maintain both owners and renters; if everyone rented, owning would be big company business.

Hey Jama, 

Nice article but don't you think that your personal example is more of an Ideal scenario rather than the generalisation. I mean how often do you find units where rent's not increased in 8 Years or the landlord fixes every leak or damage before you can name them ???

Its like you said to Kate, you are lucky you have it. But this example leads people to believe that Renting is Great , I am not saying it isn't but lets not make generalisations based on one situation. 

The thing is, renting is good if you are not financially strong enough to keep up with the requirements But in the long run real estate prices DO go up (if you are sane about the timing of buying ; anyone who bought at the peak of prices is bound to cry foul now). 

You have a HUGE point. Thanks for sharing this, JamaGenee. Robert Kiyosaki, the author of "Rich Dad Poor Dad" shares you views when he says that a house if a Liability and not an Asset as many people think.

I love this! I think exactly the same way and I own an apartment in snowy Finland and I always think how awesome it is that I don't have to get rid of the snow in my own yard :)

i love renting - i dont like the idea of being bound to a mortgage

Nice piece. Home ownership is everything you say, and it can be downright agony when you have to shell out loads of cash in order to have a simple water heater or a/c unit installed. Thanks for giving us all something to think about.

I am also a renter, and I love it. I would not change a thing. I see what pains my friends have to go through and I don't want the hassle. I too like my life simple and peaceful. Great hub!

Juanita A happy renter in Virginia

Rent or own, as long as you're happy with it, that's the important thing.

-TRIG

I enjoy renting. No grass to cut, no repairs to worry about.

I'm an ex-home owner and raised by a builder of homes with the American Dream drilled into me. I now rent, and although I still look for long term security (which I realize is a myth), I love not having to be repsonsible for taxes and repairs, and knowing that maybe I'm helping someone else make ends meet while I live simply and comfortably stress free.

Thanks for posting a wee bit of sanity!

;) S

I am both a renter AND an owner... I rent the home my son and I live it (And love having someone else responsible for the gardener, and broken pipes, and faulty roof tops) but I am also the person responsible for these very things for another person's "home."

I must say that the benefits of ownership have gotten me througha couple of rough patches (hello Home Equity Line of Credit) and allows me a very nice deduction and return at the end of the year.

There's also something nice about my "home" being the responsibility of someone else!

Thanks for a great post... I definitely understand both sides of the fence...

great hub.

We rent a three-bedroom flat in central London. House prices here in the UK went absolutely insane over the past 10 years or so, just out of all sanity. They've come down about 15% since the peak in August 2007, but are still dropping fast.

Our flat was theoretically "worth" £700,000 (about $1.2 million?) at the peak. The rent we are paying wouldn't even cover half the mortgage, actually quite a bit less. And we don't pay to run it, mend stuff, or the £2,000 a year service charge (lifts, cleaning the common parts).

I owned once over 25 years ago - and have rented ever since. I did not like the responsibilites of owning - so much easier to call the landlord when there's problem. I did not like how long it took to sell when I wanted to move. In fact it took so long that I was gazumped - having lost the property that I wanted to buy I had to rent - and bot was my mind eased. That all happened in the UK. I've now lived for 7 years in France where renting is much more the norm.

you sound resentful and i bet you have bad credit

Home equity lines of credit are drying up. I am with you author, this home ownership thing is like a millstone around your neck. If inflation raises house prices the bubble will not last long. We are onto the game of phony government. As long as government manipulates the currency it is better not to own. I have written hubs on why it is a trap to buy at low interest rates when you know that they cannot be maintained, but will likely go up alot if inflation comes back. You could lose value in your house if inflation eats away at that value. Selling into high interest rates diminishes your return.

Yes you are correct. Now today 2009 we are finding out we should not of bought this condo because like you say, you dont ever own nothing and facts are you can find a nice place to rent and they fix what goes wrong, pay the taxes, pay the water bills, sometimes if you get lucky the utilities. no more home owner as; fees and just all the rest . Gee im ready to sell this 2 bedroom condo with 2 full baths and walkin closets all newly remodled,1900 sq feet and on first floor in charlotte nc, too old to be a homeowner. all newly redecorated . you can have it real cheap.

So tiresome coming to the end of this page( hehe) ...

LOL gamajeme(or is it?) ...nice hub in the making...

Yes a big advantage of renting is that if the Jamaican Steel Band move in as your neighbors you are not stuck with them - just move on to another rental home.

Enjoyed reading this. In my little patch of the world, it has proved more economical to buy. A few years ago, we bought just before real estate prices went up and ended with a profit when we sold. Also, I'm the type of person who can't save, so what I have tied up in the house makes up most of my savings.

That won't likely happen again. Houses generally only go up at the rate of inflation, and we are deflating now. If there is inflation in the future there may be serious issues with down payment and credit qualifications. Also if there is inflation you may sell at a loss because of higher interest rates. Point is, fiat money manipulation and 30 year mortgages may be a risky combination.

We know this is not just a USA phenomenon. It is happenng worldwide. Europe, Australia and even 3rd world countries real estate is dried up, lending is at rock bottom. Some thigns I do;t get about parts fo the coutnry are: some people iv eintheir apt for 20+ years and the owenr never sets foot inside. Yet, in part pof CA the owners seems to always needing to enter your apartment for some BS inspection, turn the water off for repairs, etc. So, how do you get an apartment that truly is very private and the landlord isnot constantly bothering you.. By thenm way, there is some good nfo on the web why renting is always better based on living in the San Francisco bay area.

good

Excellent hub JamaGenee!

I feel much happier now knowing I also don't buy and-have always rented!!

I would love to see another hub titled "Why I Own" Not Rent! to see if the grass is greener on the other side!

:)

That is so true! Renting is better than buying a home. I sure miss our rental house! This gives me an idea of how horrible this new house has been for us. It's no wonder no one bought it but my mom.

interesting!

very true

Excellent hub! You have made some great points. My husband and I have rented and owned and are currently 'owning' again. Our fondest memories are of a rental house we lived in for three years in the country. Complete freedom, great landlord and we had money to do things. Now we have a mortgage again, property taxes, and currently a repair to our propane system that will cost $$. Our son is three years away from college and we are thinking of selling the house, taking our modest profit, and renting for the next five years or so. We could enjoy these last three years with our son and do some traveling together, and as someone else commented, he would be eligible for more financial aid in college. I would disagree with those who say home ownership is freedom. So many of my weekends are not 'free' because of things we have to take care of around the house. You can't take it with you --- I will be old and gray and grateful for the time I had with my husband and son. As long as I have a nice, clean place to live in what does it matter?

Cool hub. I rent too :)

There are deifinate positives to renting, I own a house... and maybe if I didn't make as much money as I do now, I would definatly rent, many people are House Poor and dont even realize that times are changing.

Working a JOB (just over broke) having 2 kids, buy a house and retire on a pension... It just doesn't work like that anymore. Dont buy a house unless its all cash... otherwise you will lose your shirt in compound interest over 30+ yrs.

Great Hub

Don't even get me started on the "forced savings plan" aka mortgages that everyone insists is the right thing to do for yourself financially. It's ludicrous.

I say spend your money on growing businesses - either buying ownership shares of companies that you understand and feel are important to people like you or by starting a business that make you money over the long term by doing something you LOVE!!! By the end of those same 30 years you'll have enough money to buy 2 houses outright.

Nice Hub Friend...... Thumbs up

I live in NY and of the 8  places I've lived (in 8 years) have never once had a good landlord. Never. Never had a landlord come to do basic maintenance without calling 10x or having to call the housing department first, never had an apartment without thin walls and crappy neighbors, never had to -not- complain about a lack of heat, never had the rent not jacked up on me by less than 10%, never had an apartment I felt like I could truly relax in and call my own.

In theory and on paper I think you're correct. But in reality.... I'd rather have a place I was in control of then be at the mercy of a landlord who does not have my best interest at heart.

I rent because I choose to live well above my means. I live in a million dollar condo for nothing. I have lived here for 16 years and have relished in life at the beach. I may not own much, but I am as close to a shiek as you will find. My money goes to travel, essentials, autos, and mouse ....

My landlord is like a father to me and his castle is my dwelling ... I wish all owners well and hope your dreams end like mine......

Aloha...........

Interesting Hub, and you make some good points. Not enough to sway my own opinion on the subject, though. While owning a home can be quite expensive and there are extra responsibilities that go along with it that one can avoid by simply renting an apartment instead, I still have dreams of living in my own house someday. I have dreams of decorating the place how I'd like, without having to get landlord permission to repaint or rewallpaper. I want a yard I can plant vegetables and fruits in; sure can't do that in a public park! I want to be able to sleep at night without hearing my next door neighbour playing music through a thin wall. I want to look at my residence and be able to say, "This is mine." There's definite appeal to that.

But you're right that renting has its upsides. I got a brand new fridge when moving into my current apartment (though it stays when I leave, so I can't exactly say that the fridge is mine). I get the security of knowing that if the walls fall apart, I don't have to pay to fix them. I don't have to pay property taxes. My rent gets paid once a month and that's all the financial figuring I really have to do. Yes, definite advantages to renting rather than owning.

But me, I've still got the dream of owning my own place someday. It won't solve all my problems, and may create new ones, but it's a dream, and I don't aim to let it down. :)

I have to admit that recently I've been changing my mind about home ownership.

I've always owned my home, but as the years creep by, I see more advantge to renting. It gives far greater freedom for movement and there's less responsibility. The capital released from my villa in Spain would earn sufficient interest to MORE than pay any rental - plus I could start to eat into it as I grow older.

Its always nice to have a place that you can consider your own but you have justified your ideas that its better to rent than to own... i'm starting to think about it now. LOLs

What a great suggestion. It would have saved a lot of headaches and heartaches by not having to worry about mortgage and property taxes.

Great note and you made your case ... definently the right decision  for you.   And NO one should ever be looked at as second class for smart moves that are perfect for them.  

For me I just had to own a home since being an aparment dweller in some icky apartments as a kid always moving from one complex to another.   Being able to have some space to move about rather then some 2 bedroom one bath up the stairs place.     I will add too yes having to do a few things or wanting a bathroom totally diff does cost ... but the freedom of being able to do it and not have to ask is great for us.   Plus our homes have been good to us first one we got for 90k lived and njoyed it for 7 years and received 165k for it, second one was equally nice when we went from 1000 sq ft to 3000 sq ft.   That home we only stayed in for a little over 2 years and it grew from 240k to the 335k we sold it for.    From this I have received more then I have put in each of them.   We  will see about this current home.    I know I could never stay in one for 30 years so some day we will know.   But like my mother and father in law who have been in the same home now for 37 years and paid only 17k for it they will get a profit for sure when they are done with it.   

So for me I see value in both ... freedom in both ... and wise decisions by both.    All really depends as you point out on what you wish to spend your time and weekends on ... smiles.  

~Expect Miracles

Wonderful and assuring to see another sees the "goldmine" in renting such as myself.

When you buy ahouse though you will have something you can sell fro hundreds of thousands, when you rent you get nothing back.

It is great news for all the landlords out there who are making fantastic residual income from renters! Landlords have never done so well as they are doing right now - talk about a recession proof business! I want to own rentals some day and attract good tenants like yourself who will appreciate and care for the property as much as I do.

I think it all depends on where you live. I'm from Toronto, and if you look at suburbs in the metropolitan area, say, a three bedroom house varies in price tremendously depending on where you buy it. The rent? Not so much. The advantage of renting depends on the location.

Though if you think about it... the landlord is usually either making money or breaking even with you. And they build up equity. And that landlord gets something out of it, and you don't. Unless, in rare situations, the house disastrously plummets in value

I rent too and doubt if I will ever do anything different unless by some miracle I ever become wealthy and able to buy my own place! lol

well soon the government will own all the homes we live in and provide us with all the jobs we work.

from each according to his abilities to each according to his needs.

When I owned my own home I was in debt up to my eyeballs! I now rent because of some of the things you listed! Great hub!

Good hub..there are definitely pluses and minuses on both sides. In these times I can see why many would opt to rent instead of buy a house..however, some of those foreclosures are a nice temptation for buying.

I agree. The only thing with purchasing a house is that if your house holds up and you don't have to do a lot of repairs after you pay it off, it can be much cheaper than renting in the long run, but that's generally after years of paying a mortgage.

Great article!

Denise

Yes... i 100% i agree in that...I rent house for 15 years ...iwas disappointed that if i only loan house past 5 years i think i have my own house instead of renting.

What about buying an apartment? Here in Finland we have a system much like buying a home where you can buy an apartment and then sell it when you move. It's kind of like a home but with less yard work.

Does anyone know more about what tax breaks home ownership can offer over renting? In NY, buying a condo or co-op doesn't seem to make much sense. After taxes and maintenance fees, renting is usually cheaper. However, if you're a neighborhood that's appreciating, you can easily make 100k in profit after selling in just a few years.

But buying a home seems to offer more tax breaks and incentives, not to mention more control over your quality of life than shared walls, noise, and deadbeat landlords.

Well Written!nice piece of work with lot of useful information...

I agree with the person who previously mentioned that he/she doesn't think owning a home is as bad as you make it out to be. As I write this, I am thinking of the giant yellow (for gas) and blue (for water) markings on the street outside my home, which - because the town decided to install a sewer system - which will cost several thousand dollars for hook-up to the new sewers. At the same time, in my area, a nice three-bedroom apartment or home (particularly one suitable for a family) would cost someone, probably, between $1700 and $2000 a month. Somehow that puts the cost of sewer hook-up into a little perspective.

There are, of course, advantages and disadvantages to everything; but I really think any disadvantages to owning a home are far outweighed by the advantage of being able to do what one wants. Some homeowners, of course, do pay their monthly mortgage instead of rent; but at some point in their life the home will, in fact, belong completely to them (as opposed to having little to show for that $2000 a month for years and years). Owning a home may not be for everyone; but even with the need to hire the snowplow guy or else clear the driveway yourself, I still think owning a home is nice thing - not a terrible thing.

I've kind of started changing my mind on this subject now that I've read all the comments.

I agree that buying a home or even an apartment and paying mortgage instead of rent is smarter.

I don't know how much a house costs to maintain yearly, but the apartment I own costs around $130/month on maintenance.

"I agree that buying a home or even an apartment and paying mortgage instead of rent is smarter."

You just can't say that as an absolute.

The flat we live in, for example, in central London. Our rent is the same as 2% of the property's value, per year. If we were to buy it, we'd not be able to borrow money at 2% a year. And the value is falling.

So buying would be a rather silly thing to do.

Hi there

I perfectly agree with you in this matter, but this only applies in the US and in western european countries. In other countries the laws do not protect the guy who has a rent, and the owners sometimes choose to impose strange and abnormal rules, like visiting unanounced, asking the guys who rent their house to do stuff they are not normally obliged to do (like keeping the owner's plant in their "home" and make sure it stays alive and well).

The owner in the apartment i'm living in, for example, comes sometimes to visit and check on us. If nobody is home, he just uses his key and shamelessly enters the aparment, checking if we hadn't "destroyed" the house.

He knows we are good, civilised people and we would never ruin our own homes, but this is his kinky pleasure and we can't do anything about it, because the law does not forbid him to enter his "own home".

So I believe it's safe to say that your arguments only apply in some cases, because in other cases it's much better to own your own home.

I'm 23 years old and with an economy like this, espescially in Michigan and with me working for Ford, I would not dream of buying a house right now. I rent for under $600, which includes gas and water and i have a thousand square feet of living space with 2 bedrooms, which isn't bad. I like the fact that my gas is paid for espescially considering I know people that are spending $200-$300 and more on their gas bills a month.

To those who believe owning a home is superior to renting - I always thought so, too. Then I went through a divorce ten years ago. I made getting the house in the divorce settlement my priority, thinking it was the only thing I wanted or needed. In many ways, it has been a millstone around my neck ever since.

I have never had the income to keep it up the way it should be and, although I paid it off in full by having my mother as my roommate for seven years, I was forced three years ago to refinance in order to make it saleable. Then I hit a patch of one short-lived job after another and here I am, saddled with a house that has lost two-thirds of its value and realtors who tell me that without granite countertops, hardwood floors, brand new appliances and the like, no one will consider it.

Do I wish I had a comfortable little rented flat or house with a tiny garden for the pets instead of a home built for a family of four or five with an enormous unlandscaped yard? Well, let me just say that, at the moment, it sounds like a godsend. 

Interesting article

Great points. I've rented and owned, and I agree, it's more fun to rent. After reading this, I'm longing for the days when I only had to pay $800 a month (it would probably be much less than that now in this economy for the place I was living!). If you purchased a home within the last five years, there's a good chance you're going to be there for a while. It's hard to build equity when the price of your home is falling faster than any money you can shovel towards the interest on your mortgage.

And do you ever truly own your home? You still have to pay taxes...stop paying them and we'll see who truly owns your home. Great hub!

"I rent for under $600, which includes gas and water and i have a thousand square feet of living space with 2 bedrooms, which isn't bad. I like the fact that my gas is paid for espescially considering I know people that are spending $200-$300 and more on their gas bills a month."

We pay £1,600 a month for about 1,000 sq feet, three bed flat, incl. water and service charge, but not gas or electricity. Those two together come to an extra £80 or so a month.

I like your opinion

Having rented, leased, owned, with a mortgage and owned freehold, over the years, I was, of the opinion that tenants were better off Pretty much for the reasons your Hub gives..

But nothing beats the in the middle of the coldest winter ever winter rain pouring down to be told that it was time to move, as the landlord had sold.(one month settlement and not a clear sky in sight, ) (First and only time I ever ever rented.) Never again.

You have to move all your junk and clean out one house to move into another one, where Wellingtons, have been through it a 100 times by the hoards of willing helpers. That is if you can find that you like, that is available. Landlords here, even at the top end of the scale, (I have never rented an old dump, except one for a Studio. some years back.) are not that big on regular maintenance unless it is something earthshattering, or an obvious health hazard. So you have to live with their crap colour schemes as they don't like painting, much in case the next tenants dislike your taste. Weird, that they assume someone might actually like theirs. O.K. (I am extremely fussy) so maintenance costs money, but rent works out more expensive, and at the end of the day you own nothing. The idea is to work hard and pay off earlier.

I would find it hard to believe that the average rent out here $250. US. per week would be needed for maintenance insurance rates etc. and also as you would only buy, when there is a slump in market prices you will also realise a profit in more bouyant times.

Sorry to disagree. As for a cemetary being a nice place to spend time Sorry that thought is totally foreign to me. Plus why would you take a bag of sandwiches into the park and eat them when you lived close by, you would be marauded by birds, wouldn't you. Good for the figure, I guess Lunch Sharing lol.

I would like to eventually buy a house. But as of right now, with everything in the shitter, I don't want to chance anything. And besides alot of the houses that are up for sell that we've looked at have been foreclosed and people just left and they either trashed it or because of not being maintained it needs ALOT of work. For Example, there is a newer subdivision being built near buy, the houses towards the front of the subdivision are about 5 years old now and we've gone and looked at a few and they've been trashed or have been let to go to shit. Like this one house that wasn't winterized and the pipes bursted, destroying everything and they were still trying to sell it, however I noticed a BIG problem, there was black mold growing everywhere, and now the house is condemed. There were at least 5 houses that we've looked at that were like this, others had everything tore out, drywall, outlets, electrical, ceilings were destryed. Even houses being bought have hidden things that people are doing to them, my buddy just bought a house, knowing he had to fix it up, but whoever had it before him had poured Quickrete down all the drains and allowed them to harden. I guess where I am going with this is, that even though prices of houses are down because of the market, just be weary and have Everything looked over.

Great hub. I bought a house last year with mortgate of $250K. $145K is the intersest for bank. I work hard for the bank. So I sold my house with a profit in this bad market. Thanks for the "sold your house in 21 days" I am pretty happy to rent now. I can just move to anywhere I want to go. That is the real freedom. I think I will sell most of my big furnitures as well. Make it even easier1 Yahooo!

Anyone want to sell your house in this bad market, you can go to http://nuurl.us/98291 to look for some good advices.

It seems everytime we get extra money, something in the house needs to be repaired. We are about to have the air conditioner fixed soon and who knows how much that will cost!

I would much rather use my extra money to travel to see family and friends or take that trip to Europe.

At this point in time, I think more and more people will understand the importance of what you are saying. Buying a house was often handled like a gamble that "wasn't really a gamble" - because it "can't go wrong", house prices will rise no matter what, right?

Well, a few months down the line many people have learnt a valuable lesson.. There is no such thing as a constant curve upwards.

Congrats on a great hub!

Sometimes renting makes sense. Sometimes it doesn't. It's never one or the other, but what makes most sense financially at the time. Now, of course, would be the time to rent while housing prices continue to their downward push.

With the cost of houses compared to wages owning a house is not "the dream" it has been made out to be for sure. Though I think there are certain cases where purchasing a house can make sense (finding an amazing price) etc, but there is a freedom in renting.

Hi Jama,

Nice post.

For all of us poor home owners out there (and I use the term own loosely) please tell me there is something that is okay about home ownership?

For me I know I can't sell in the next 12 months but at least I an sure the view from the bedroom window will still be the same.

No escape is a tenable if you like where you live.

Maybe in 5 years. my options will be open again. My wife fancies Sarasota, Florida. Netx time I will rent.

Russell

Very nice hub JamaGenee. Excellent points

Great points. You make me feel like so much less of a loser for not owning a home. Maybe you're right about the so called American Dream. Maybe things have changed so much that its not all its cracked up to be anymore. The home prices are incredibly higher than they were when America was first settled.

Jama- Sounds like your making excuses for being lazy. It is hard work to care for your own home and I take great pride in it. It is the best financial investment anyone can make - perhaps it is not for those- like yourself- who spend most of the day sitting on their duff.

HomeOwner: We can be happy that the world is full of people who take great pride in their homes like you. But why would you possibly leap to the conclusion that renters are lazy? Many of them may be far busier than you doing work equally or more important. Let's play nice, please, and treat everyone with at least a modicum of respect (if that's all you can muster). Thank you.

My parents lived in church-based housing all the while my dad was in active ministry. We never had to really bother with paying rent or upkeep on the house, but every problem we had with a house HAD to be brought before the church board of trustees before things got fixed, and when you're dealing with small-church board members, you have to be prepared to meet up with super-duper control freaks who don't want to do ANYthing with the house even if it's just a tiny little $100 repair and the church budget has way more than enough room for it.

Plus, when one is in church-based housing, it's pretty much the same as renting. You do NOT get a choice of color scheme when you move in. Any repainting has to be run yet again by the board of trustees, and they have the power to say yay or nay. Most of the time, my parents haven't had much trouble in that arena as we would be the ones buying the paint. However, as I said before, there are always going to be people on that church board who don't want anything changed...they will fight tooth and nail against someone repainting or changing the color scheme all round, just because they think EVERYone just looooves beige, beige and more beige.

If I want to look at continuous light tan, ambers, olives and pumpkin oranges, I'll move to the Arizona desert. But I do NOT want those colors in my home unless they're very BRIEF accent colors.

So I would rather go through the hassle of someday buying a home and be able to decorate it as I please with no need of having to ask ANYone's permission.

Yes, there are property taxes, but those go to help fund the building of new schools which many cities and towns sorely need but don't often get because the people vote no on the propositions--just so they don't have to pay those taxes. Sorry, but if you want your town to be prided on good schools, pay your property taxes and don't fuss when there's a hike to fund newer, better buildings.

Yes, there are high cost repairs and continual maintenance, but I believe a house is not a comfortable home unless things are running properly. And I would be the one overseeing those repairs, and by Goddess they would get done because my folks and I have had to put up with do-nothing financial control freaks. I'd want my significant other and my kids to live in comfort and health, not discomfort and bad health.

So that's my perspective on it.

As a landlord, of course, it is important to have a customer. I must admit that there are several costs to owning property as opposed to renting it from someone. There are benefits as well, including many tax deductions I can take for interest paid, taxes paid, and on the rental property I can write off a good many other expenses as well, including wear and tear and mileage expenses on my personal vehicle to maintain the property. In any situation, it is better to do the real math. If it works out for you to rent vs. own, then rent. But the opposite could hold true.

owning a house is like owning a car. you have all the worries of various kinds of payments. 2 years ago, we got fed up with owning both so we opted to renting a small space at my parent's house. we sold the vehicle, too, so we have no more major financial worries anymore--except the utilities bills, of course. commuting is fun and walking is exercise. yeah, i definitely agree with you. life is much simpler without owning and carrying heavy baggages. :)

I have both owned and rented, and hated both at a point. When we owned we lived in a townhouse and the strata was stupid. On the otherhand with renting you don't have the stability. If the owner goes suddenly into forclosure, you probably will have to move yourself and if you happen to have been there for years, planned to be there for many more and say, have a dog or cat you may have to give up your pet(s). You could be the best tenent but if the owners grown kids need a place, your gone. At least with owning, you don't need to worry about, say, being just a couple weeks away from pregnancy due date and learning you have 30 days to get out because the owners kids need the space. Even with owning, ifyou go into foreclosure it still takes a few months and something could be worked out to stop it. Renting, once your told to leave you have 30 days, no if ands or buts. So pros and cons for sure on both sides. When we owned we had one problem, the fridge died...that was it for repairs/maintanence. I personally am planning to buy again real soon (currently renting) but I do see your point, and it makes a lot of sence.

I am with you on this one for sure. I have always rented. I've beeen to 30 of these United States and the story is the same, "no thanks, I'll rent"!

Why I Rent Not Own

I think this hub is the anti-anti-toxin to anxiety! Help, the verbosity of it is making me anxious!

Call me romantic, I like knowing I (and the bank for the present) own a piece of the earth. I like fixing things and puttering around in the yard.

But I see and appreciate your points!

I enjoy the 'perks' of renting, but if I had the money to buy a house outright, I would. As it stands, I obviously don't have the cash, so renting suits my lifestyle. Good hub!

Hi Jama. We found the "American Dream" when we bought our house. We felt such pride of ownership. We finally had a place to call our own, you know? Funny thing, though. That all wore off over time. No major catastrophes, or anything like that. But it eventually just becomes a house. And the way the market is today, it's a house that we owe more on than we could get from selling! I'm sure we will go back to renting at some point. I haven't soured on the ownership thing. I'm just not likely to do it again until it involves 30 acres, and a stocked pond.

I'm with you on this one. I owned a home in Las Vegas during the rise & fall of the housing market. I also was a Human Resources Director for a mortgage company & had the displeasure of laying off hundreds of people during my tenure.

My dream of living at the beach in CA has now come true due to the fact that I am sharing a home with 2 other people.....paying rent. Roomates at 39 is something I never thought I would do until I opened up my heart to new ways of thinking. Now I am living my dream at the beach and have also left the field Human Resources.

The great American dream isn't limited to "home ownership". Renting is what had helped to enable my dream to come true.

Both sides has merits and demerits :)

Well said! I too am in the ranks of "The Renter"... (it sounds so dirty) Ha! Perhaps it is the nomad in me that keeps me from putting down roots, yet I feel everywhere is my home, if I make it so. I can instantly acclimate to any surrounding, any new city. Maybe one day... I'll plant something? Love this hub!

really good hub has given me lots to think about, I will have to come back to read the rest of the comments as there are so many of them but it would be a shame not to come back and finish reading them as they too are interesting.

That was a great hub Jama. I rent myself and it is a hell of alot easier to deal with. By the way, do you pay renters insurance? I don't, but everybody I know keeps insisting that I do.

I just spent about 45 days searching for a home. Apparently, that is not very much time to invest in looking, but a realtor-acquaintence had me convinced that if I did not take advantage of the $8,000 tax credit from the government that I would be sorry, and the rates are really low now, you better do it now! I never bought a house before and well, I'm over 45...gosh I should really do it now! For one thing I have never been able to afford a down payment. Now that I have been able to save for that, I would wipe out my savings for own ownership. It just so happens my car, just tonight had problems, I had to be towed, and ended up having to rent a car until it can be repaired. I realized that if I signed the contract on the townhouse this week, that I would be stressed to the max right now. I pretty much made up my mind that I would be better off tucking money away each month to save for a "rainy day" and it figuratively and literally rained this week. The wonderful thing about it is that I could handle it, I did not stress out because I did not have the funds to take care of myself during this crisis. I will not be broke and I can do what it takes to take care of my transportation.

Another reason for deciding to continue to rent is my house-buying experience. Good gravy! I've never seen so much paper, and I had several people tell me I need to hire a lawyer to walk me through the process. It exhausted me to even look at these documents. Then every day, I learned something new that I would need to purchase...home warranty, title insurance, on and on and on.

I do not like green eggs and ham!

I DID learn the hard way, but I'm walking a better, clearer path today. I traded my house for my freedom.

Beautifully done! I am traveling allot but I must admit I miss my yard. I am enjoying this chapter of my life - and that is the point - it is the journey not the possessions. Great Hub!

I am so glad that others feel the same way my husband and I have for so many years, we have never owned a home, yes, we did get the looks from family and friends, but we have learned to live inexpensively. Don't we say "Til Death Do Us Part" when we get married = not when we sign for a mortgage.

Good points. I am not sure if I agree with you. But your case is valid. It depends on if you value having your own land that you can call your own. I just bought my first home. I have to paint, fix and repair things. But I have the satisfaction of doing everything on my own. To each it's own. Renting gets a bad wrap, which it does not deserve.

Fantastic hub. I have sent your link to several friends. We are in the "home-free," "childfree" club -- not "homeless," "childless." ;) Cheers and thanks!

My sentiments exactly. I've been renting the same apartment for the past 18 years and don't plan to buy a house (or condo) anythime in the near future.

So great to see this perspective represented, we're all a bit brainwashed into thinking property ownership is something everyone should be aiming for but few people stop to ask why..! It's definitely interesting that it's viewed differently in other cultures..

Absolutely, it's a scary thought that entire societies can be convinced into viewing what is essentially a kind of voluntary enslavement as desirable.. P.S. I'm in the UK but things are exactly the same here. However, people do seem to be questioning our financial / economic systems a little more since everything started to fall apart over the past couple of years - so maybe there is hope!

Wonderful hub! I've come close to buying twice now, and I'm so happy I got talked out of it. The flexibility has been great. It also means I get to move out of the country for a while without having to worry about finding tenants for my place like my brother does. More people should probably read your hub :-).

Jama, you are pricless! I just read your reply to "Homeowner", and I quote "This hub is NOT making excuses for being lazy. Not everyone wants the hassle of homeownership. Maybe you should get rid of that house and take a long vacation! ;}

I had the best laugh. Well, having been both a homeowner and a renter (currently renting), I have to say I prefer renting for all the reasons you have given. And I am not lazy!

Thank you for an excellent hub. You've made me even happier than I have been. Does that make sense? It doesn't have to - I am a renter! Rated big on this one.

What a thought provoking hub, Jama! It's so contrary to what I've thought, but it makes so much sense that I've read it several times over the past few days to let it sink in!

Interesting Hub. You make some excellent arguments for renting over owning. I think the main argument for renting is the freedom it provides one to move easily. But the other ones are equally valid.

It does sound like you have an ideal situation though. Your rent has not gone up in 8 years (that is unusual). The home owner fixes things without a hassle (that can be a big problem when renting).

I think buying a home has a luck component, as far as timing. I brought a townhouse in 1998, and did quite well with the real estate appreciation. I came out well ahead of renting, even with taxes, association fees, and other costs factored in. Some of it depends on where you live. If rents are high, it can be hard to get ahead by renting.

The main argument for owning a home is that you are master of your own domain. If you want to change things, you can do it without getting permission from a landlord. There is something empowering about owning a home and putting your hard work into it.

There certainly are many advantages of renting over owning a home. I enjoyed this hub very much and was taken aback by the number of comments. You should feel gratified by the fact that people are still reading your hub that was written over two years ago. Your hubs are so good and thoroughly entertaining that I have started to read more and more of them.

Now for the shocker!!!!!!! That white picket fence surrounds a Gingerbread Cottage in the Martha's Vineyard Campground. It is about 150 yards from where I am currently sitting on my front porch and typing this on my laptop. The cottage is owned by the Gerard family from Connecticutt. Unbelievable!!!! What a small world! Did you have any idea it was on Martha's Vineyard?

I'm sure to have this hub read by my 2 daughters who are keen on saving for a house of their own in the city where they work. I see more benefits of renting than owning here. Their present apartment is awesome as it is. You got me on! Thank you for the wonderful tips! Beautiful, bookmarked, and voted up!

Great hub. I have this same argument with people all the time that claim owning a house is the best investment and living the "American dream". I was happier when I rented, but I bought into the BS and bought a condo. I'm now a slave to a mortgage, property taxes, repairs, etc. Plus, the market has gone to hell. So much for building equity! I'm totally upside down, so I can't even sell without taking a huge loss. And, you're right about the yard. I prefer to go to the park anyway. I think we've been brainwashed to buy homes and live the American dream. It's simply a way for the government to enslave us with more taxes, like you mentioned. Thanks for speaking up against the norm. Cheers, MU

Good for you. We rent too. being semi retired we have nothing to hold us here. If we want to pack up and move to a different part of the country we can, without all the hassle of selling up first.

A very good hub

I guess it depends on your view. Me, I have bought into the home ownership dream- have two mortgages, one on our home and one on a rented property. Yes, it hs been hard- but I can sell the rented one in three years time and cease work, ten years later, if I wish to. To me the sacrifices made have been worthwhile. However I know the problems having just spend a lot of money on my house. A great hub which gives a view that I had not considered.

I could not agree with you more - I am right with you on this. Great hub and great topic to write about. very nice work indeed!

My dad was not only a homebuilder but also had his own Real Estate company the last many years of his life. When he died my mother still had several homes that they sold which were owner financed and it kept her afloat financially. So there are definite pros and cons of home ownership.

When everything goes right, it can be a tidy investment. However with the financial meltdown of late, many people owe more on their homes than they are worth in this current market. Thus, it is like rolling the dice as to whether one will come out ahead financially when purchasing anything today.

You have made some excellent points regarding the freedom of renting! Any room on "your" park bench? Sounds lovely! I still have some mulching and weeding to do here at our house...

Funny...a widowed friend just a few days ago was bemoaning the expenses on the upkeep of her home. Wondering what to do... Think I'll send this hub to her mailbox for consideration.

Great hub and valuable information on renting. I am a homeowner and I am seriously contemplating getting a townhome or a nice loft. Love your suggestions. Thanks again for sharing your nice hub.

Absolutely love this hub! My co-worker was just telling me today that she wish she was renting because her home has caused her nothing but headaches with all the repairs that have been done. That just confirmed for me that I will continue to rent and be stress free....and happy!

These are my thoughts exactly. I love the freedom to be able to move when I want to (provided the end of a lease) without having to worry about the strength of the economy and whether or not my home will sell at all.

JamaGenee,

Your hub should have been required reading for everyone who bought the American Dream lie. And I don't just mean those who suckered themselves (both sides deserve blame) into sub-prime loans.

Real estate at one point was a growth investment.

ALL of that changed with the mortgage bubble burst and the economy tanking.

If the mortgage tax break goes away there will be NO incentive whatsoever to own.

I just love your description of where and how you live. And how smart are you to keep your options open. You can pick up and relocate on a dime -- instead of hundreds of thousands of dollars!

Excellent, persuasive hub.

MM

This was great, we rent our house which has a rather large grassy yard. Unfortunately, we have to mow it. But I love renting our house. The only problem we had with it, was when the landlord tried to sell it while we were in it. But we have a lake view, lots of land for the dog, and none of the expenses or problems except mowing the yard. Hubby does that... lol

I really enjoyed reading this blog. My husband and I are currently considering buying a house at the end of the year - depending on how things go, but after reading your blog, I think I'll share this with him as well! Thanks - you raised some really good points! :)

How insightful! You clearly know what you're doing and i most definitely respect that.

Sheez, I just looked at the number of followers you have and you more than double me and I've written over 100 hubs. What is wrong with this picture I ask myself? Maybe your hubs are better??? Mmmm? As for this hub, I applaud you and by extension applaud me. I haven't owned a home for ten years now after owning twenty before that...that's right, I said twenty! I have zero desire to own at this point and as you said I love the freedom that renting gives me. Loved this hub, love your attitude and jealous about your vast following. :) Take care my friend and enjoy the hell out of life tonight!

@JamaGenee the house didn't sell and they took it off the market. But I'm still afraid they'll put it back up for sale! I love our home, and we hope to one day buy it. We're keeping our fingers crossed, I'm hoping with my writing I can make enough to save for a down payment. :D

You do have a point. Several, in fact. I have never thought of renting instead of buying quite in the manner you presented. I think if I had it to do over again and it was just me I would probably rent. I hate doing repairs and outdoor work. Up and amazing.

Thanks for offering a fresh perspective on this, JamaGenee - I unintentionally became a renter rather than homeowner, but I've had the same thought processes since, especially over the last few years as housing prices have tanked. Unless you're increasing in equity, there's unfortunately little incentive to want to "invest" in housing...

Nice perspective, I really don't blame you. I own my home, but it's mortgage-free, at this point. There are still taxes and home insurance costs, but my ex acts as my free landscaper! He just loves to maintain lawn and shrubs, etc, and he is also a pretty good handyman. Yes, I've had to replace a water heater and a furnace, and those were not cheap! I've often thought I might like to buy a townhouse condo, which would be the best of both worlds... home ownership with grounds maintenance, etc. Personally, I like knowing that this little piece of the planet is mine, but I do see your point.

There is never ending problems with buying a house. I think the reason we never wanted to rent again when we rented in California there were never ending problems in the apartment we lived in. We didn't have problems with the apartment, but with the manager and some people around us.

Sounds like you have the prefect place. Voted up.

I've always rented as well. I would get told I was being lazy, but I'm realistic. And in the last few years because of the tight economy, I have heard of so many people who have had to deal with 'foreclosure'. After I became unemployed for a few months the renters insurance I had purchased took care of much of my rent of which I am thankful.

Renting is 'sensible' to me. And even with the small maintenance issues you've had over your 9 year tenure (Perhaps more? Are you still residing there?) the bottom line is that it was at no cost to you. Another thing with renting to consider is you will more than likely have a chance at finding an apartment that is 'brand new' and cost effective than a house.

Just the one or two comments there. I think I may sue you for my repetitive strain injury scrolling down there for ever... joking of course. Great hub. A few years back I would have said you buy because you can sell at twice the price in 5 years. Well, boom thud crunch, that’s come tumbling down. And now well, those you abused our money, those who got a lot of our money, will now not lend us our money so I rent cause I have to.... that is until I meet a nice rich American woman….lol or is that Chinese now… I forgot

Hi Jama. Oh what a wonderful hub. We have done both several times over the years. Now in retirement we are renting. We are not worried by the day to day operations of running real estate. We have chosen just what we wanted, a small garden front and back. I do think you are right.

We in the UK are the same as you in the USA we put great store by ownership, in Europe renting is the norm, they prefer the freedom of renting and two BMWs instead. The only reason to buy is to sell at a profit (hopefully) and to leave some security for your children when you are gone.

Overall the freedom of renting is better, you can move much easier if you wish and repairs are only a phone call away. A really good hub.

Voted up / Interesting.

Graham.

Fab hub. Could not agree more. I own, but don't live in my place. Gives me and my pup freedom to try to new places. Thanks for the pic of the cute house!

This is a great hub. YOu really point out well the downside of "owning" a home. Still, I like having my own place, not having to deal with a landlord. Plus, I've focused on paying extra, sometime 2 or 3 times the mortgage, so I'll have my house paid off in a few years and will save tons of money as I'm still young. That will be freedom to me with no rent nor house payment. I wrote a hub about my experience with owning a home, too. :-) I like your hub, though, and I think that the choice of buying vs renting depends on the person's lifestyle, goals, etc. I enjoyed reading this. Your writing style is wonderful.