Many people who currently rent property express doubts about the value of paying monthly rent to a Landlord when that money could be spent on paying a mortgage, probably as a first time buyer. Renting a property is not always for financial reasons, but often because younger people want to move from home or need to move because of going to University or a first job.
Over a 12 month period it is quite likely that the cost of renting a property will be between £6000 and £7000 per year. For this the tenant has the benefit of accommodation that is fully maintained, safety inspections carried out on an annual basis, and the property is fully insured. A main and final consideration for tenants of rented property is the ability to be able to move to a new property anywhere in the country without solicitors and estate agents fees for buying and selling properties.
A survey recently carried out by 4You Lettings has indicated that the cost of owning a property would reasonably be expected to be over double the cost of renting. Many of the people interviewed had carried out expensive improvements to their properties within 2 or 3 years of buying their new home. The expense of upgrading a kitchen averages between £10,000 and £15,000, and the cost of a new bathroom usually costs in excess of £5000. Other costs involved often include extensions, new double glazing or central heating, and external works such as new drives and gardens.
As buying a property is the single most expensive item most people will ever purchase, it is understandable that they want to turn their house into a home and for their home to reflect their own personality. Decorating can be fun (in small doses) and colour schemes do change with fashion and changes to furniture in a particular room. Of course not everyone wants to decorate their own home and living in rented accommodation presents the Landlord not only with the bill for decorating the property but also the headache of finding suitable tradesmen and if necessary ensuring that any areas of work not satisfactorily completed are attended to as quickly as possible. While considering the bother of organising tradesmen to repair your own property let us not forget the external repairs and maintenance necessary for most properties. This can be very time consuming and simple jobs for clearing or replacing gutters, replacing roof slates or drain pipes are a constant drain on the finances for homeowners.
Reports of Building Societies repossessing properties are increasing with many people feeling that if they don't buy a property soon they will not be able to get on the property ladder, the risk is clearly significant that the property of your dreams will be a financial burden for many years to come.