One Thing You Need To Know About Renting vs. Owning
By now if this is not your first encounter with me or my material, you would know that I like to tell stories. I am a storyteller, that is what I do for so many reasons. Which is probably why I love music, film, and marketing. They are all forms of storytelling.
When I first started in network marketing, I posted a lot in various groups to get feedback and well leads. So being that I am in the personal finance industry I decided to post the following:
And…
To my surprise, these two posts more so the latter got the most engagement of any post that I have posted in an FB group forum to this day. The comments, interactions, and mindsets were mind-boggling. There were so many people for owning properties and even more for renting and never owning. A lot of people were upset and defensive. They took it personally and started giving me their budgets by states. One lady, in particular, challenged every single figure that I gave. Unsuccessfully by the way.
So what is the one thing you need to know about renting vs. owning, well outside of my personal bias? Simple, is it for me? What the study showed me was although prior I thought that everyone wanted to be property owners in some way, shape, fashion or form; the reality is apparently not all people want to be home and/or property owners. I know right! I literally had no clue! Well, either that or they are good liars. So here’s what I came up with:
1. Location. I think the city, state, or zip code where you live or want to live makes a difference. For example, one of the states with the highest numbers of nos was California, and with reason.
2. Income & Personal Finances. How much do you make after taxes? And what are your monthly expenses, duties, and responsibilities?
3. Maintenance & Repairs. One of the greatest arguments was that the cost of maintenance and repairs were way more than having a landlord to make repairs. A few landlords suggested that rental properties were not as profitable as people make them seem. Whereas others stressed the importance of short term and long term property investments. Which brings me to point 4.
4. Long and Short term property investments. Know when and which properties to flip or invest in for a short term. And know which ones to keep long term as residual income. They suggested that a lot of people make this mistake.
5. Savings. In several states, a mortgage is less and more profitable than the rent for the same number of rooms with less square footage and privacy even.
6. Legacy. In reading a lot of comments, I learned that a lot of people have become selfish and do not think about the next generation as much as they should. They only spoke of themselves and living in the now, as opposed to leaving something behind to put the next generation ahead.
7. Peace of mind. In my opinion, there is a peace that comes with owning your own property. Especially on that day when it is paid off/for. I know several people who paid of their mortgages in their early forties or fifties and are debt free. Now while this takes disciple and often more than one income. It is achievable.
For more tips, visit https://finucoaching.com. To connect with Chai, visit https://chaishaddai.com.