Although, everyone needs to live, somewhere, a variety of conditions, determine, which option and alternative, may be the best choice, for the particular individual! A combination of factors, including, one’s financial circumstances, job security (both, actual, and perceived), personal credit (and the associated, Credit Ratings, and Reports), comfort zone, personal philosophy, objectives, needs, and priorities, etc, contribute, to determining, what may, or may not, make the most sense, for a specific person/ family, etc. While, there are many types of options, and alternatives, in terms of the type of housing, one opts – for, this article will attempt to, briefly, consider, examine, review, and discuss, 6 specific housing options.
1. Rent: Some, either, prefer to, or, need, to rent somewhere to live, rather, than own! It may be due to life – conditions/ insecurities, etc, or, lack of the necessary funds, needed, to purchase a home, of one’s own. When, you buy, you need, funds for the down – payment, associated – other costs (such as Title, Title Insurance, Building Inspection, etc). You must also, want the added responsibilities, a homeowner has, such as repairs, renovations, upgrades, real estate taxes, utilities, maintenance, etc! It is, also, possible, you aren’t certain of, where you will settle, in the near – future, geographically, and, therefore, are uncomfortable, with additional, significant commitments!
2. Rent – to – own: In some cases, a homeowner, may offer, his property, on a rent – to – own, basis, which, means, in the initial stages, one pays rent, and, some percentage of these payments, may be applied to a future purchase, in a specific, time – frame!
3. Starter Home: Are you, seeking, what you consider, the home, of your dreams, which you will spend, a considerable amount of your life, at, or, is it a starter home, so you can own, rather than rent, and, hopefully, build equity, which might assist you, in paying for future housing upgrades, etc?
4. Longer – term residence: Is your goal, to buy, a house, which will serve as your home, for the longer – term, and, can you afford, to do so? Are you confident, in your financial ability, economic/ job stability/ security, and, do you have the available funds, for a down – payment, Closing Costs, and all the advisable, reserve funds, needed, for, items such as repairs, renovations, upgrades, etc?
5. Multi – family: Some, either, prefer, or must, purchase a multi – family house. Do you like the idea of being a landlord, and its associated responsibilities, etc? Some, go, this course, because, they wish to defray the costs of ownership, with the rents, collected. Others, don’t want to be a landlord (or, are uncomfortable, with the responsibilities, etc). Is this, for you?
6. Cooperatives/ Condominiums: While, owning a condominium, is considered, real estate, cooperatives, are not! However, some want, to own, something, of asset value, but, to have someone else, responsible for some of the maintenance, etc. Others, hate this approach!
After, over 15 years, as a Real Estate Licensed Salesperson, I strongly, believe, before one commits, to a specific option, he should, take the time, and make a concerted effort, to give himself, a check – up, from the neck – up, and discover, what might be best, for him, and his needs, goals, and priorities. Become an educated, housing user!