For most home owners the choice to buy or rent falls in to the following key factors
- Getting the deposit - banks and building societies are generally looking for substantial deposits
- Work - how long are you likely to be in the area. If your job is likely to move you to a different area then renting can be a better option
- The housing market - in an increasing housing parket it can be nbeneficial to buy. In a falling market its possible to lose a lot of money and end up in negative equity
Renting Costs
Regular expenditure for renting a home will vary considerably - the following items must be budgeted for:
- Rent, and possibly council tax.
- Heating and lighting.
- Service charge or repairs and maintenance costs.
- Travel costs to and from work.
- TV licence
- Any other regular expenses e.g. phone, broadband etc.
If you have purchased a property a typical breakdown of ongoing costs may include:
- Mortgage repayments
- Heating and lighting
- Repairs and maintenance costs
- Private roads where applicable
- Travel costs to and from work.
- Regular bills such as telephone, TV & braodband
- Life and home insurance premiums.
- Coucil tax
- Water & Drainage rates
- Ground rent and service charges if the property is leasehold.
