Is renting an inevitable waste of money?

[Questat]

I keep renting a house for several years but I have no problem with that, I can still pay for the rent. But of course, to have my own house is the most thing I wanted to happen someday. But I've seen that having a house, for now, is very expensive and it really needs more money and it found hard to get it. Then I think that if I have money I use it to put up a business first instead of buying a house. Might become a stupid decision for others but this is what I see in some businessmen, they prioritize having additional sources of income before building their own house which I think was the best option.

[Moeda]

If you're young and haven't inherited a property from your ancestors, chances are that you're forced to rent. Personally, I've been renting for over 6 years and have been living with my girlfriend for the last 4, sharing rent and utilities. Overall, we've both spent over €25,000 together, and after spending all this money, you're practically left with nothing and may be subject to looking for a new house at any moment.

The average rent for a one-bedroom apartment is between €300 and €400 at best; thus, I was thinking that taking a loan is as costly as paying rent per month, but after 15-20 years, you end up with a house. My main concerns are the following: First, if you're in a long-term relationship like myself, you can never be 100% sure that you'll be with that person in 20 or 30 years from now, which might prevent you from opting for a loan. Secondly, you need to be certain that the location or city of the property to be bought is convenient for future job offers and so on. Thirdly, because a loan is a many-year commitment, there's no guarantee that you'll be able to afford the monthly payment 15 years from now.

On top of that, finding the ideal house as a renter is almost impossible; there's a lack of housing, and rents are extremely expensive and unreasonable at the same time. We had a difficult time finding a house recently, and it's far from ideal. There is now a new government-funded loan program that is about to start, funding up to 75% of the loan interest-free while the rest is funded by private banks and is subject to a relatively low interest rate. This led me to think about taking a loan and purchasing an average two-bedroom apartment, but I have the concerns that I voiced earlier.

Of course if we rent a rented house as a place to live, of course it will not give us any advantage. Because we have to spend money every year to rent while we don't own the rights to the house.
But if we change the way by taking rent money to do mortgages, it will be more profitable even though the costs are much more expensive. Within 10 to 15 years, we already have full rights to the house.
Maybe the question is, can we afford the installments for the next 15 years? Of course this will make us think before taking a mortgage.
In my opinion, it would be better if we made a delivery order for building materials to build a house, regardless of the amount of money we have, so that within 2 to 3 years we can build our own house.

[TimeTeller]

I keep renting a house for several years but I have no problem with that, I can still pay for the rent. But of course, to have my own house is the most thing I wanted to happen someday. But I've seen that having a house, for now, is very expensive and it really needs more money and it found hard to get it. Then I think that if I have money I use it to put up a business first instead of buying a house. Might become a stupid decision for others but this is what I see in some businessmen, they prioritize having additional sources of income before building their own house which I think was the best option.

You have good reasons to think about that. Some successful businessmen are still renting.
Now, it depends on your capability to handle a business. If you think you can, then, pursue such path.
Because some people are investing in real-estate, because they feel secure for their future.
But unfortunately, not all of us can afford the high prices in the market.
But I won't consider renting as waste of money, you can decently sleep with that rent.

[Uruhara]

but I give this opinion based on smooth economic conditions and no obstacles.

The point is to first measure the financial ability that you have today.

Yes, I also have almost the same thought. But exactly as you said at the end. i.e. this can only be done if we have a stable salary from the start to the installment payment.

First, we must measure our own economic condition. how much is our salary every month or how much fixed income can we get every month. whether it will be enough to pay the installments or not. And we also have to prepare a reserve fund if one day, for example, we are sick and don't get income. then the reserve fund can be used to pay the installments at that time.

Buying a house and paying for it in installments is great if we are financially able. But if our salary is small then this cannot be done. we can only rent a house. because the cost of renting a house is relatively cheaper. so we should still be able to pay it even though our salary is still small. But we also have to save when we are still renting a house. so that one day we can make or buy a house from our savings. may take a long time and requires patience.

[rby]

I keep renting a house for several years but I have no problem with that, I can still pay for the rent. But of course, to have my own house is the most thing I wanted to happen someday. But I've seen that having a house, for now, is very expensive and it really needs more money and it found hard to get it. Then I think that if I have money I use it to put up a business first instead of buying a house. Might become a stupid decision for others but this is what I see in some businessmen, they prioritize having additional sources of income before building their own house which I think was the best option.

There are some couple of reasons some people doesn't want to own house rather they want to rent.
It could be because of the kind of work they do that it's not stationed at one place.
Another reason could be because of the expensive nature of owning a house. When you want to own a house in a well-developed area it will be expensive . So if you want to own a house you will likely go to a less-developed area while someone renting could comfortably afford nice house in a well-developed area

[Negotiation]

Deciding whether to rent or buy a home is a big one that affects not only your lifestyle but also your financial well being. I don't think renting is an inevitable waste of money because many people can't afford to buy their own house, it's too expensive so they rent. Renting can be advantageous in terms of obligation and freedom renting is seen as a financially sound option by many. It is a safe bet that is backed by a real asset and offers the potential for capital appreciation and tax benefits.

[Joshapat]

Borrowing is a decision that is difficult for anyone to make, borrowing money, of course, must use collateral or pay high interest, especially now that online loans are increasingly massive and make it easy for anyone as long as they meet the requirements, many people make the mistake of using loans for things that are not productive this is a waste.

[Kryptowerk]

If you're young and haven't inherited a property from your ancestors, chances are that you're forced to rent. Personally, I've been renting for over 6 years and have been living with my girlfriend for the last 4, sharing rent and utilities. Overall, we've both spent over €25,000 together, and after spending all this money, you're practically left with nothing and may be subject to looking for a new house at any moment.

The average rent for a one-bedroom apartment is between €300 and €400 at best; thus, I was thinking that taking a loan is as costly as paying rent per month, but after 15-20 years, you end up with a house. My main concerns are the following: First, if you're in a long-term relationship like myself, you can never be 100% sure that you'll be with that person in 20 or 30 years from now, which might prevent you from opting for a loan. Secondly, you need to be certain that the location or city of the property to be bought is convenient for future job offers and so on. Thirdly, because a loan is a many-year commitment, there's no guarantee that you'll be able to afford the monthly payment 15 years from now.

On top of that, finding the ideal house as a renter is almost impossible; there's a lack of housing, and rents are extremely expensive and unreasonable at the same time. We had a difficult time finding a house recently, and it's far from ideal. There is now a new government-funded loan program that is about to start, funding up to 75% of the loan interest-free while the rest is funded by private banks and is subject to a relatively low interest rate. This led me to think about taking a loan and purchasing an average two-bedroom apartment, but I have the concerns that I voiced earlier.

The answer is of course not black and white. Both, renting and owning come with a lot of pros and cons.

Just a few things to consider, when renting:
- the money you would have to pay to your bank every month (which is usally more than rent) can now be used to invest in other things, such as Bitcoin
- you will be a slave to a bank-contract for 20 - 40 years unless you manage to achive quite some financial wealth in the meantime - which is more difficult now (see my first point)
- owning property comes with a lot of stress and time investment if you rent it out to someone else; in contrast to stock bonds or crypto assets mainting your property takes a lot of extra expenses and effort
- you are more flexible to move from a rented place without much liabilities compared to living in your own home

There are some nice benefits from owning property, too. But these are usually well-known and highlighted without the downsides, so I just gave you my idea on the latter.

[Rockstarguy]

I keep renting a house for several years but I have no problem with that, I can still pay for the rent. But of course, to have my own house is the most thing I wanted to happen someday. But I've seen that having a house, for now, is very expensive and it really needs more money and it found hard to get it. Then I think that if I have money I use it to put up a business first instead of buying a house. Might become a stupid decision for others but this is what I see in some businessmen, they prioritize having additional sources of income before building their own house which I think was the best option.

I go with this concept,  it is a good idea to me. People thinks paying money for rent is a problem.  I'll rather keep paying rent than to use all the money I have with me to buy a house because me buying a house may affect my business to grow after buying a house. Getting the house and life becomes tough financially will be he'll. Instead of buying a house I will put the money in developing my business to grow then later on ,the profit I have made from my business I can decide to buy house which I know buying a house won't affect , make me go broke because I already have a stable business at hand.

[Ultegra134]

The answer is of course not black and white. Both, renting and owning come with a lot of pros and cons.

Just a few things to consider, when renting:
- the money you would have to pay to your bank every month (which is usally more than rent) can now be used to invest in other things, such as Bitcoin
- you will be a slave to a bank-contract for 20 - 40 years unless you manage to achive quite some financial wealth in the meantime - which is more difficult now (see my first point)
- owning property comes with a lot of stress and time investment if you rent it out to someone else; in contrast to stock bonds or crypto assets mainting your property takes a lot of extra expenses and effort
- you are more flexible to move from a rented place without much liabilities compared to living in your own home

There are some nice benefits from owning property, too. But these are usually well-known and highlighted without the downsides, so I just gave you my idea on the latter.

Certainly, the answer is never black and white; both options always have advantages and disadvantages. However, I don't understand how the money I'd use to pay the bank can be invested since that amount of money will be spent on rent. In some cases, the monthly payment may not even exceed the average rent. Moreover, if I spend my whole life paying rent, in a few years I will have paid the equivalent of buying a house myself. Owning a property may come with stress and other issues, but you're comfortable knowing that the house is yours and you can do whatever you please.

[virasisog]

The answer is of course not black and white. Both, renting and owning come with a lot of pros and cons.

Just a few things to consider, when renting:
- the money you would have to pay to your bank every month (which is usally more than rent) can now be used to invest in other things, such as Bitcoin
- you will be a slave to a bank-contract for 20 - 40 years unless you manage to achieve quite some financial wealth in the meantime - which is more difficult now (see my first point)
- owning property comes with a lot of stress and time investment if you rent it out to someone else; in contrast to stock bonds or crypto assets maintaining your property takes a lot of extra expenses and effort
- you are more flexible to move from a rented place without many liabilities compared to living in your own home

There are some nice benefits to owning property, too. But these are usually well-known and highlighted without the downsides, so I just gave you my idea on the latter.

Certainly, the answer is never black and white; both options always have advantages and disadvantages. However, I don't understand how the money I'd use to pay the bank can be invested since that amount of money will be spent on rent. In some cases, the monthly payment may not even exceed the average rent. Moreover, if I spend my whole life paying rent, in a few years I will have paid the equivalent of buying a house myself. Owning a property may come with stress and other issues, but you're comfortable knowing that the house is yours and you can do whatever you please.

It all depends on our financial capability. If we can only afford to rent then so be it, just save and grind hard so you can afford to buy a property in the future. It will be better to take a single step at a time than force things out and make you suffer for a long time such as taking a loan.
In our country, there are rent-to-own properties which I think is a good option for those who are just renting. At least you can live comfortably while renting and you'll have ownership of the property after a few years.

[AbuBhakar]

It all depends on our financial capability. If we can only afford to rent then so be it, just save and grind hard so you can afford to buy a property in the future. It will be better to take a single step at a time than force things out and make you suffer for a long time such as taking a loan.
In our country, there are rent-to-own properties which I think is a good option for those who are just renting. At least you can live comfortably while renting and you'll have ownership of the property after a few years.

Only few countries have an option for rent to own properties and if it have sometimes it is limited in provincial areas. If we wanted to have a place near our wark offices it will be hard to find a properties like this, will be lucky if we can find one that will allow it and with lower values. I have knew people who stops renting now since work setup is work at home now and they are able to go home now in their provinces. I guess it will depend on how we use the place we rent and if it will gives more comfort to us to rent than to travel back and forth. It is not considered as waste if we were able to save our time and energy into doing things more productive.

[visionE2]

In my own opinion, in terms of business calculations, the point is to rent first, the remaining money from income should not be used for repayments, but for investment. Later the results of the investment will be invested again, and doubled again so that there will be more, later the results will be able to pay for house rent again and even buy a house. But it all depends on your income, who knows your abilities, you are yourself.

[2double0]

There are some countries globally that allow you to go for long duration contracts which may go in your favor later if the guy keeps giving you his apartment for rent. This, by the grace of the government of specific countries, is counted as paid EMIs if they manage to live there for at least 12-15 years and you can claim it to be your home later which the government will not only consider but also help you gain authority of the same.

In my own opinion, in terms of business calculations, the point is to rent first, the remaining money from income should not be used for repayments, but for investment. Later the results of the investment will be invested again, and doubled again so that there will be more, later the results will be able to pay for house rent again and even buy a house. But it all depends on your income, who knows your abilities, you are yourself.

It's not as easy as you've envisioned it here because investments aren't assured and can even make you incur losses, which may turn the tables for you entirely.

[Aanuoluwatofunmi]

You will need to rent at some particular stages of life not because you wanted to but by so doing you leverage on what's been profitable in a bid towards achieving your own, but doing it for a long time is what shouldn't be encouraged because it will get over you completely without giving you that opportunity to get your own and remain independent, we need to undergo some particular stages in life to give us more experience, this is just as if you're paying for getting knowledge about a particular thing which you will no longer pay for after you have achieved your target, so it's not a waste of money of needs be.

[Ludmilla_rose1995]

I personally think renting is wasting money. I'm also currently renting and planning to buy a cheap house in the suburbs soon because house prices and the cost of renting houses in the city center keep going up and I think it would be better if I had my own house even though it's on the outskirts of town.

[Leviathan.007]

If you're young and haven't inherited a property from your ancestors, chances are that you're forced to rent. Personally, I've been renting for over 6 years and have been living with my girlfriend for the last 4, sharing rent and utilities. Overall, we've both spent over €25,000 together, and after spending all this money, you're practically left with nothing and may be subject to looking for a new house at any moment.

The average rent for a one-bedroom apartment is between €300 and €400 at best; thus, I was thinking that taking a loan is as costly as paying rent per month, but after 15-20 years, you end up with a house. My main concerns are the following: First, if you're in a long-term relationship like myself, you can never be 100% sure that you'll be with that person in 20 or 30 years from now, which might prevent you from opting for a loan. Secondly, you need to be certain that the location or city of the property to be bought is convenient for future job offers and so on. Thirdly, because a loan is a many-year commitment, there's no guarantee that you'll be able to afford the monthly payment 15 years from now.

On top of that, finding the ideal house as a renter is almost impossible; there's a lack of housing, and rents are extremely expensive and unreasonable at the same time. We had a difficult time finding a house recently, and it's far from ideal. There is now a new government-funded loan program that is about to start, funding up to 75% of the loan interest-free while the rest is funded by private banks and is subject to a relatively low interest rate. This led me to think about taking a loan and purchasing an average two-bedroom apartment, but I have the concerns that I voiced earlier.

This can be different for anyone depending on where they live and what's their job because for example if you are living in a country where you can take a loan and buy an apartment it's much better to pay back the money you got for the loan each month than paying money for rent because if you buy this house after taking a loan you will own the house after some time and you could create an investment for yourself while the money you pay for rent will never come back to your pocket and in some countries, you will even have to pay more rent each year because of the inflation rate of that country.

[Synchronice]

If you're young and haven't inherited a property from your ancestors, chances are that you're forced to rent. Personally, I've been renting for over 6 years and have been living with my girlfriend for the last 4, sharing rent and utilities. Overall, we've both spent over €25,000 together, and after spending all this money, you're practically left with nothing and may be subject to looking for a new house at any moment.

The average rent for a one-bedroom apartment is between €300 and €400 at best; thus, I was thinking that taking a loan is as costly as paying rent per month, but after 15-20 years, you end up with a house. My main concerns are the following: First, if you're in a long-term relationship like myself, you can never be 100% sure that you'll be with that person in 20 or 30 years from now, which might prevent you from opting for a loan. Secondly, you need to be certain that the location or city of the property to be bought is convenient for future job offers and so on. Thirdly, because a loan is a many-year commitment, there's no guarantee that you'll be able to afford the monthly payment 15 years from now.

On top of that, finding the ideal house as a renter is almost impossible; there's a lack of housing, and rents are extremely expensive and unreasonable at the same time. We had a difficult time finding a house recently, and it's far from ideal. There is now a new government-funded loan program that is about to start, funding up to 75% of the loan interest-free while the rest is funded by private banks and is subject to a relatively low interest rate. This led me to think about taking a loan and purchasing an average two-bedroom apartment, but I have the concerns that I voiced earlier.

If you are going to establish long-term relationships, then definitely you are going to have kids. If you aren't already getting paid very high or if you don't have a business, then it will be very tough to afford kids or even one kid and cover mortgage loan at the same time if you and your fiancé are going to afford things alone.
I would say, risk it if you are getting either financial help from your parents and are sure that your and her parents will be able to support themselves a little bit you too for at least 10 years and be sure that your parents will take care of the kids. Otherwise, it will be very tough and depressive.

[Cookdata]

I will continue to rent until I become financial stable, and I wouldn't advise you to take a loan to purchase a house, you know why, it will destabilize you in the future, buying a house or building a house without been financial okay would not only put you in trouble, you will likely sell them in the future because that house will need maintenance like toilet facilities changes, you may need to change the roof if you live in a hot temperate region, normal use maintenance which may be difficult for you to do if you buy your house on loan, you will be only concerned to pay back the loan and at the end of the day, you will living in old house without any achievement. Think it through before you carry any loan.

[Mauser]

If you're young and haven't inherited a property from your ancestors, chances are that you're forced to rent. Personally, I've been renting for over 6 years and have been living with my girlfriend for the last 4, sharing rent and utilities. Overall, we've both spent over €25,000 together, and after spending all this money, you're practically left with nothing and may be subject to looking for a new house at any moment.

Renting is definitely not a waste of money. Just because you own a property doesn't mean you live for free. There are fees and taxes you have to pay if you are owning or if you renting. Then there is the whole topic of modernisation. In my country when you are doing repairs on your house or apartment you are required to meet new requirements for insulation. This makes even smaller projects very expensive. So in case you own an older property or there is an external damage that is uninsured it can be very costly to own. The biggest issue for me is at a younger age that you are fixed in one location. If you get a better job in a different city it might be hard to sell your house and move.