Time to Move On: Why You Should Sell Your House and Rent an Apartment
Is owning a house really the best option for you and your family? Here's why it's time to move on, sell your house and rent a smaller space.
Thinking of selling your home?
You’re not alone. Indeed, approximately 5 million homes were sold in America last year.
Now, many sellers will just move from one house to another. A proportion of them, though, will take the bold move of going back to renting.
You might wonder why anybody would rent again after owning a house.
Well, strange as it might seem, real estate isn’t everything! Investing in property has become ingrained in the American psyche. It’s viewed and marketed as the sensible route to take.
It might be time to move on from that idea.
People often feel loathe to ‘throw money away’ on a rented apartment. In reality, though, that path offers a host of oft-overlooked advantages. What’s more, as you know, homeownership isn’t without its pitfalls.
Have we piqued your interest? Read on to learn why selling your house and renting an apartment makes sense.
- Avoid the Hassle
Renting is simple.
You pay a set amount of money every month for a roof over your head. It’s a straight-forward trade of cash for somewhere to live.
Aside from bill payments, there’s nothing else to worry about. Does the toilet need fixing? Call the landlord. Roof needs repairs? Call the landlord. Heating system broken? Call the landlord.
The responsibility for the property falls on the owner of the house. As a tenant, you can sit back and relax as they sort out the issues.
Houses, by contrast, are complicated. All of those property problems we just mentioned are your responsibility to solve. It’s time-consuming, stressful, and a major hassle.
- Avoid the Costs
Many people feel that renting is like throwing money down the drain.
It’s an understandable perception. After all, you’re handing over money each month that you never see again. Your cash goes into the landlord’s pockets.
Of course, it’s not like you get nothing in return! You have a place to stay in exchange.
More than anything, though, you avoid the exorbitant costs that can accompany homeownership. All the problems we highlighted in the previous point need fixing. And every fix costs money.
Tenancy arrangements mean you wave goodbye to that burden. Your financial obligations stop once you pay your monthly rent.
- Declutter Your Life
Houses get filled with junk.
Sure, some of it will be useful and utilized regularly. However, you can guarantee that much of it will be totally useless. Basements, attics, spare bedrooms and garages all manage to be filled with, well…stuff!
Having space in a house makes it easier to justify purchasing even more items.
Downsizing from a house to apartment is the perfect opportunity to rid yourself of it all. With less space, you have to be more selective. You literally can’t take everything with you.
Having fewer possessions can feel liberating. What’s more, selling those unnecessary items can earn you a nice sum of money in the process.
- Access Equity
On the subject of nice sums of money, it’s worth mentioning equity.
You might have been paying off your mortgage for years.
In that time, you will have accrued a significant sum of equity! Selling your house gives you instant access to it.
Imagine have a $300,000 house. If you owed the bank $200,000, then you’d walk away with $100,000 to do with what you pleased.
You could travel, invest, start a business, treat your family, update your wardrobe, buy a new car, and so on.
- More Monetary Savings
Get ready for more monetary rewards to enjoy!
Your bank balance will thank you for renting an apartment in other ways too.
Let’s assume you haven’t already paid off the mortgage. Think about your current monthly repayment. We’re assuming it’s a significant sum.
Well, monthly rental repayments are likely to be far less. You can, of course, find super expensive apartments in fancy parts of town.
However, if you’ve downsized to a standard apartment, you’re likely to save substantial sums of money each month in the process.
- Greater Flexibility
Buying a house isn’t just a huge financial commitment.
It requires a heavy investment of time as well.
Everything about the process is time-consuming. Saving for the down-payment, finding the perfect property, and purchasing it can take an eternity.
Then, to see any kind of financial return on investment, you have to live there for years and years! Don’t, and any equity you’ve paid into the property will be wiped out by realtor fees and so on.
By comparison, renting is the height of flexibility!
You may sign a contract committing you to a minimum length of stay. In general, though, you can pack your things and leave whenever you want.
- Suits Major Lifestyle Changes
Life is unpredictable.
Every now and again it’ll chuck you a curveball that catches you off-guard.
You might lose your job, get divorced, suffer a loss, or fall sick. Life can throw you lemons in any number of ways.
The aforementioned changes may hinder your ability to work, putting pressure on your finances. When relationships come to an end, staying in the same property is unlikely to appeal.
Finding fast house buyers to sell your property to, in favor of renting, can help. The newfound flexibility provides a means of handling the uncertainty. It’s a good solution for managing any difficult period of transition.
Time to Move On and Start Renting
There you have it: 7 key reasons to consider selling your house and renting an apartment instead.
Buying a house is a primary goal of countless Americans around the country. Real estate is perceived as a great investment; people hate the idea of ‘losing money’ in a rented property.
As we’ve seen, though, it might be time to move on from this mentality.
Millions of homes are sold every year. If you’re in the process of selling yours, then swapping a house for a rented apartment offers numerous benefits.
Hopefully, this post has highlighted exactly what you stand to gain.
Ready to make the change? Be sure to check out our apartment hunting guide now!