Wednesday, June 16, 2010

Renting vs. Buying

According to an article posted on Trulia recently, Kansas City, MO was ranked 7th in the Top 10 Cities to Rent vs. Buy.  "We're not suggesting that it's unwise to buy in these areas, though - just that it's significantly more expensive than renting.  In many of these cities, even though home buying is much more costly than renting, prices are still much lower than they have been in a long, long time," said Pete Flint, founder and CEO of Trulia.  They based their findings on the comparisons between the average list price and the average rent of 2 bedroom apartments, condos, and townhomes in the area.

However, there are other factors that need to be considered in this situation that Trulia failed to mention.  Location plays a huge factor as neighborhoods will vary from one another as well as average prices.  Length of time is another consideration.  If you plan to stay in your home for any serious length of time (let's say 5 years or so), than buying would certainly be an advantage.  There are also tax benefits for home owners that as a renter, one will not be able to take advantage of.

Obviously, if finances or credit is an issue, then most likely, renting is a great option until you are ready to take that step.

As part of Pickett Property Group, we have helped many clients take the leap from renting to owning their first home.  If you are considering buying a home, give us a call at 913.787.1870...we can guide you through the process and answer any questions you may have.

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