To Rent Or Buy

Is It Cheaper To Buy Or To Rent?

Making that decision whether to continue renting or to buy a home or property, you need to calculate your current rental payments against the proposed loan repayments. Use the Home Loan Calculator by clicking on the link below.

Expert property researchers are saying, “Across the country, it’s now cheaper to buy than to lease in 300 plus suburbs nationally.”

Taking the above into consideration, you would need to look at your desired suburb you wish to live and using property monitoring websites to calculate the maximum purchase price you are prepared to negotiate up to, additionally, calculating the repayments, living expenses to live in the property and the upkeep of the property.

For example, if you work in the city and you rented in the city however you wish to purchase an affordable property 20 kilometres from your place of work, you need to factor in the commuting costs to get to work and home i.e., petrol and parking per week, etc. These factors, parking, petrol and loan repayments may add up to more than you anticipated, putting you into financial hardship or into a lesser lifestyle than the dream of owning your own home.

If you take into consideration rental prices increase approximately with the CPI figures annually over time property rentals will continue to rise. If you also take into consideration the concept of supply and demand, rental prices will continue to substantially increase over the next few years due to the decrease in properties being constructed.

Over time you will find your income will increase, your repayments will be more affordable and the dream of owning your home will become more realistic due to the fact that if you take a look at current property prices, take a you at property prices back 10 years ago and if you look forward 10 years for now, what you pay for a property today will not be the same price in 10 years’ time.

With property values at an affordable price and interest rates at their current historically low levels, housing affordability is looking substantially achievable.