Renting a Property: 5 Myths Busted
Renting in the UK has quite a stigma attached to it. The mad rush to get on the property market often leaves people unsure of the facts when it comes to renting and the options available – especially as house prices continue to rise year upon year. Britain has higher levels of renting than most other countries in the UK, which is why we thought it was important to break down the myths that come attached to renting vs buying so that you can make the right choice for you. Read through our five myths and learn the REAL truth behind renting a property in Britain!
1. Renting only exists for those who can’t afford to buy
Yes, it’s true that most renters are young people, but more and more families are now choosing to raise their children in rented accommodation. Now that people are increasingly flexible with their jobs and the average age for settling down to buy a place is getting older every year, choosing to rent is becoming a more obvious option for a whole generation of professionals. And why rent? Well, the benefits can be huge.
Benefits of renting include not being attached to a property. No longer do you have to stay in a particular area of the country for work or family commitments – renting offers greater freedom and flexibility for those who don’t want to settle down. Not to mention that you won’t have a heavy mortgage deposit hanging over your head!
2. All landlords are bad landlords
You’re always going to have the landlords that are out to get your money. This is a common problem in student areas where landlords can get away with not keeping up with home improvements, but most landlords in the UK are genuine and reliable. A study undertaken last year by BDRC Continental of over 1,000 tenants actually found that 79% of the people they surveyed were satisfied with their current landlord, and 85% felt like the home they rented was theirs. If the risk of a dodgy landlord is putting you off renting a place, then this shouldn’t affect your decision. With proper checks and communication, you can be sure that you’ll get a landlord that won’t be money-grabbing and gives you the freedom to make the property feel like your own.
3. Renting is never cost-effective
If you’re renting for a short period of time to suit your working lifestyle, then renting is extremely likely to work out as the cheaper option. Rushing into things and buying the wrong property in the wrong location is sure to cause far more problems in the long run, making renting the money-smart choice.
During times of transition – a new job, for example, or marrying your partner – renting can be a much savvier option until things settle down and you can decide on where you’d like to live for the long-term. Managing a new position and salary or having to budget for two instead of one can cause stresses enough without the hassle of putting a deposit down as well, so there’s nothing wrong with renting a place whilst you get your finances in order.
4. Rent money is dead money
We’ve all heard the phrase that rent money is dead money, but this simply isn’t the case. For those choosing to live in busy and expensive areas like city centres, renting gives you many more options and you’re more likely to end up in a nicer property that suits your needs, instead of opting to buy a place on the outskirts of town and having to also spend on commuting costs.
Often it can take years for the financial benefits of buying a property to trickle through when compared to monthly rentals, so it’s time to put this “dead money” myth firmly to rest!
5. Renting is a lot more hassle than owning your own house
Again, not the case! When it comes to renting, you can actually enjoy a lot less responsibility compared to your landlord, who will still be entitled to fix general maintenance issues. Amongst other things, a landlord is generally required to insure the property as well as maintain the electrical, heating, hot water and sanitary installations – a lot of upkeep if you’re someone who doesn’t want the stresses of sorting them all! And whilst you’re unlikely to find a property to buy that comes furnished, rented houses and apartments can often also come with certain furniture items, meaning that you don’t need to go investing in expensive items like sofas and beds.
Naturally the benefits and pitfalls of renting vs buying vary from person to person – what suits one will not suit another. But if renting is the natural option for the stage you’re at in life, then there’s nothing stopping you. Get on that property search, and go find your new dream home!
Silks Investments aim to help our customers to achieve financial freedom by helping them to make the best decisions on the property market. For further details on renting and buying, contact us for a free consultation.