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Owning your own home is considered the ultimate goal for everybody and there is a perception that anybody that doesn’t buy a property is missing out somehow. But even though home ownership is a good option for many, it really depends on your personal situation and your priorities in life.
Unfortunately, there are a lot of big misconceptions about home ownership and listening to bad information could cost you money. These are some of the big home ownership myths that you should stop listening to if you want to save money.
Renting Is Always More Expensive
This is the biggest myth out there and most people think it’s true. People always tell you that once you can get your deposit together, you’re going to save a lot of money because your mortgage will always be cheaper than your rent, but that isn’t the case.
Landlords need to pay the mortgage and earn some extra, so rental properties often cost more per month than a similar property would for a homeowner. However, there are ways to find affordable accommodation, like house sharing, for example. You also have to find the money for a deposit, which just isn’t an option for many people. So, before you assume that home ownership is always the cheapest option, look into the different options first.
Don’t forget about the cost of maintenance either. If you’re in a rented property and the heating packs up, you just call the landlord and they get somebody in to sort it for you. But if you are a homeowner, you’ll need to call in a 24 Hour AC Repair and get them to fix it for you, and guess who’s paying? People often underestimate how much it costs to maintain a property and when you are a homeowner, it all comes out of your back pocket.
Selling Your Home Is Cheap And Easy
Renting is simple because when you want to move out, you just have to give your landlord a bit of notice and start looking for a new place. But if you are a homeowner, you have to sell your house and that’s not always easy. People have this idea that houses sell overnight because there is a shortage of affordable houses, but that isn’t true. Selling a house can take a long time and you have to pay all of the estate agent’s and solicitor’s fees, so it ends up costing you a lot of money.
You Always Make Money When Selling Your House
We’re constantly hearing about how house prices are rising, so if you own a home for a few years and sell it, you’re guaranteed to make money, right? Actually, no, nothing is guaranteed. In a lot of places, house prices will go up, but it’s not that simple. If the area where you live is in decline and a lot of people are moving away, the value of your home can easily drop and you could lose money when you sell it.
A lot of people rush into home ownership because they believe these myths and they end up losing money as a result. That doesn’t mean it’s always a bad idea, but you shouldn’t make your decision based on false information.