What are the pros and cons of renting versus buying? It really depends on your stage in life and the real estate market you are living in. For the sake of this article, let’s say a couple with middle-income careers are exploring this question in the San Antonio real estate market.

Renting Benefits

Many renting versus buying calculators are easily accessible online and typically say buying overtime is better financially than renting. However, renting can buy you some valuable time to build up your savings to gather enough money for a down payment. The average sales price for homes in the San Antonio market is now $359,545 and houses are staying on the selling blocks for only 32 days (as of Dec. 2021). This means it’s a competitive market and you may need a good chunk of money to get what you want. Renting also allows you extra time to explore what part of the city or county you want to live in. If you have young kids or are hoping to start a family, you may need to scout out schools that fit your needs. 

Another benefit to renting is avoiding major home and lawn maintenance issues. Owning a home is not for the cash-strapped. If you are living on a tight budget, you don’t need any surprises like air conditioning or water heater units breaking down. Some say, you should save between 1% to 4% of your home’s value each year for just general upkeep. Property or apartment owners typically take care of those costly repairs for renters. 

Benefits to Owning a Home

While there are benefits to renting, this shouldn’t be your long-term goal since the average residential rental price is $1,670 a month. Spending that amount on a monthly basis from anywhere to three to five years means you are losing valuable equity in a home. 

The biggest benefit to homeownership is the equity you are building the minute you walk into your new home. Getting into your home may have cost you a considerable amount, but you will likely get that investment back if you stay at your home for at least five years or more. 

Many homeowners find they are able to get more expensive homes after making a profit from their first home. While renting has temporary benefits, the San Antonio market is still affordable compared to many other cities and is a great place to buy your first, second or third home. 

Home ownership has many benefits, but homeowners should be prepared to take care of everything that happens inside and outside the area of the home such as paint, roof repairs, regular lawn maintenance and much more. 

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