Renting a house: The advantages

Many people aspire to own their own house but for many, it makes more economic sense to rent a house, as the rent is more affordable than mortgage repayments. This is because:

• Renting is usually cheaper than paying monthly repayments on a mortgage and so it can be more affordable.

• The amount of money needed for a deposit is smaller, usually around the price of one month’s rent compared to the deposit required for buying a property which is much larger.

• There is the possibility of short term renting with an agreement of a period of notice between the person renting and the landlord/estate agent. Therefore, when the renting lease is up, the person could easily relocate to a different area or to a property that is cheaper to rent.

• The cost of the rent may not fluctuate the same as mortgage repayments because a mortgage is linked to interest rates. The amount of rent to be paid tends to be agreed between the person and the landlord/estate agent as the start of the contract.

• There are no major upkeep costs when a person is renting a house as this is the responsibility of the landlord/estate agent. If something breaks and needs to be repaired like plumbing, heating, electrical wiring, fridge, washing machine then usually the landlord pays for this.

Check out the CCEA GCSE Learning for Life and Work Second Edition Textbook to find out more or check out: My Revision Notes: CCEA GCSE Learning for Life and Work: Second Edition

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