I suppose it works in my favor that I’ve never been a big fan of home ownership. While many consumers (and experts) like to tout the advantages of owning your home as opposed to renting, the numbers in many cases (and again this is my own personal experience) don’t always add up. With that in mind, I’ve looked to a number of role models who have taken a path other than homeownership, and the recent economic downturn has actually given renters some distinct price advantages along with other perks.
Across the country, the inventory of vacant apartments continues to expand. As a result, this may may put you in a position to bargain with your current landlord or a prospective one depending on your current circumstances. Even previously insulated markets like New York City are starting to wake up the crisis and beginning to recede. Here’s an example of how using your knowledge of the current state of the housing (and renting) market to save some money:
â€œIt certainly makes renting more attractive when the rental market softens,â€ said Gary H. Schatsky, a financial adviser in New York. â€œIf people suspect â€” as most people do â€” that the New York City sales market will get much softer, and theyâ€™re able to rent in the meantime, then being able to negotiate a rental rate puts you in a better position.â€
This isn’t to say that housing a solution to your needs is going the way of the dodo. As prices continue to fall, owning a home will become an increasingly attractive option. This is especially true if you’re not as zealous as me when it comes to avoiding debt, as rates are at historic lows at the moment and buyers are beginning to come out of the wood work to take advantage. Federal programs are also looking to keep consumers in their current homes with all sorts of aid packages and tax cuts. Whether you decide to rent or buy a home, make sure you understand that it’s a buyers market, and no matter which way you go, you should use that to your advantage. I mean, who doesn’t want to get a free Land Rover along with their housing arrangements, right?Click to See the Latest Mortgage Rates»