With property prices spiking, first-time homebuyers are concerned about making the right choice to be on top of the property ladder. So are you thinking of buying a house and benefit from the sense of stability that it provides, or do you wish to continue renting and enjoy the flexibility? Top builders in Chennai and real estate experts reveal the pros and cons of both options.

Pros of Renting

Flexible

Renting a house comes with a lot of flexibility, for as tenants, you can relocate as per your needs.

Cheaper

Renting a house is more economical as it goes easy on your budget. Of course, the house for sale in Anna Nagar west looks like a tempting deal, and we’ve all been there! But if you are just starting out in your career as a young professional, renting will be the optimal choice. It also enables you to rent a house in posh neighbourhoods. 

Pocket-Friendly

One of the big perks of renting a house is you don’t have to go through the burden of paying taxes, repair, refurbishment, and other such costly maintenance expenses.

Diversify your Investments

For First-time home buyers or young investors, buying a house means that every last penny of yours goes into a single investment. Thus top builders in Chennai suggest you rent your desired house and have the opportunity to use your savings across a broad range of other potential investments. 

Cons of Renting

Uncertainty

Tenants have very little say in how long their term of residency is valid. The landlord can ask you to move any time with little to no notice.

No-Ownership

The home you grew fond of is never really yours! This definitely pulls a sentimental chord with some people ending up perceiving rent money as money down the drain. You can’t make any improvements or changes to your living space since you don’t have any authority over the property. 

Rising Rent and EMI

Due to inflation and an increase in property prices, rent rates are more likely to rise in the future. Here’s where EMI comes to play. Suppose there is a house for sale in Ayanambakkam that you wish to buy, but you feel hesitant in diverting all of your hard-earned money into one investment. You are also not ready to keep shelling out rent for a lifetime as there is no security and transfer of ownership in the asset. Here is where EMI comes into play. First-time homebuyers and younger investors are beginning to see the perks of paying EMI on their home loan, rather than paying rent every month. This way, they can completely own the property within a span of 15 to 30 years. The Reserve Bank of India (RBI) has attempted to tackle covid-induced distress by offering relaxation for loans and EMIs, which has encouraged eager buyers to reach out to the top builders in Chennai to fulfill their dream of owning a home one day.

Pros of Buying

Sense of Stability

Owning a house comes with a sense of financial stability, the freedom to renovate and decorate your living space for a comfortable living. What looks like a tedious process is actually simplified when you purchase a property from top builders in Chennai. They make the purchase process completely hassle-free, transparent, and secure. 

Rising Asset Value

House ownership is a long-term investment, and owning an asset that grows in value has tremendous benefits. But there are chances of the asset values dropping due to unforeseen circumstances.

Cons of Buying

Interest fluctuation

During your loan term, there might be interest fluctuation. If one is unprepared for such unexpected fluctuations and expenses, it could lead them to be in a bind.

Investment Constraints

Unlike renting, investing in property ownership is a long-term investment, and there will be a huge sum of money flowing toward this one particular investment. It makes it to expand and explore other potential investment opportunities

Do the Math

Renting or buying is not an overnight decision. There are various factors to consider before making such big commitments towards wealth creation, like lifestyle, financial resources, investment goals, and family needs.