Kandis Rausch, Real Estate Agent with eXp Realty

Renting can sometimes be the best way to go, especially if you’re not planning on staying in one place for very long or don’t have the resources to purchase a home. Tenants often lack control over things like how much they pay in rent and when it may increase, or what renovations or changes can be done to the property.

Furthermore, there is often less incentive for renters to keep their properties well-maintained since improving the property benefits the landlord more than themselves. In deciding whether renting is best for you, weigh out these pros and cons carefully.

Lack of financial incentives:

One of the main arguments against renting is that it doesn’t build equity and isn’t considered an investment. Additionally, you won’t be able to take advantage of tax deductions associated with homeownership.

Less freedom to update your space:

Whether you want new floors in your bedroom or different tile in the kitchen, such projects might have to wait until you’re a homeowner.

Unlikely to improve your credit:

Most landlords don’t report rent to credit bureaus, meaning your positive rent payment history isn’t likely to improve your credit. However, breaking your lease can hurt your credit. Collection accounts on credit reports can have a detrimental effect on your scores.