Should I rent, buy, or build?

This question varies from individual to individual and can be impacted by many different factors in your life.

Let's start with renting. Renting is a great way to get established in a new area if you’ve just moved and are not sure where you’d want to purchase a home. Renting is also a good option if you don’t have the cash for a downpayment or you need time to improve your credit score. You can rent apartments, townhomes, or even a house. Renting can also be a great option if the industry you work in causes you to move frequently. There are many reasons to rent but just remember, every time you pay rent you are paying off someone else’s mortgage when you could be building equity in a future investment. 

Buying a home is one of the best ways to gain equity and build an investment in the United States. Home values might increase and decrease like the stock market, but over the long term, houses have always risen in value. Buying a home that is already built can be beneficial if you want to move in as soon as possible -a move-in ready home. Purchasing a home is always a great idea if you have money for a downpayment and are looking for a place to live for a few years. Living in a crowded city may also lead you to buy instead of build due to a lack of buildable lots. For example, if you’re trying to build in New York, you may run into some issues with land availability and pricing. Meanwhile, if you are looking to build a home in Atlanta, Birmingham, or other cities with more land, you may have a greater opportunity to find a great lot.

And finally, building a home is a wonderful option if you have the ability to wait 8-12 months and want your own custom space. Although building can take a while, in the end you’re able to have a home built to your family’s needs. You get to pick out the tile, cabinets, flooring, number of windows, size of the rooms, and more. The other benefit to a new build is that you likely won’t have any maintenance issues to worry about in the first 10 years since everything in the house is new. Building is no easy task and you will want someone who has been through the entire process to guide you as you go but as with anything in life, the more difficult something is the more rewarding it is. At HK Realty we have been through the process numerous times and are happy to guide you through it.