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Home Ownership or Renting It’s all About Getting the Most for the Dollar

Courtney Booher Com 156 July 3, 2011

Home ownership has distinct advantages over renting property. Landlords and property management firms make hard sale pitches on the advantages of renting versus ownership. Many refer to the advantages listed on http://www.ourfamilyplace.com/homebuyerorrent.htmls Such as, fixed cost for the term of the lease, flexibility in moving, and the ill perceived thought that there is a smaller initial outlay of money. However, they fail to discuss the advantages of home ownership as identified by Elizabeth Wentraub in her article "Buy a Home" that is posted online at http://www.homebuying.about.com/od/buyahome.html. Wentraub discussed that even though real estate values are cyclical; in the long term real estate consistently increases in value. Why? There is only so much land available. Supply and demand dictate rising values. In addition she discussed the property tax advantages, capital gains exemption, mortgage interest deductions, and the use of home equity loans. When all things are considered, it is about getting the most for the dollars spent. That advantage goes to home ownership.

As of 2009 67.9 percent of all owned property was occupied by the owner. Renting advocates tout the myth that there is a smaller outlay of initial dollars for renters. However, that is just not the case. Many federal programs allow individuals with acceptable credit standing to start home ownership with no money down. In addition many states like Indiana have first time home owner programs. In Indiana that program allows home buyers to put as little as $500 down to purchase a home. That amount is far less than most deposits required from renters. That is a point that proponents of renting fail to discuss. From the beginning, homeownership

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