20/09/2024
Yes 🥰
Renting is NOT a waste of money. It's buying patience until you're ready to buy a home.
Just because a mortgage payment might be less than rent, doesn't mean it's the right time for you to buy a house. There are a LOT more expenses that come with homeownership than the monthly payment.
Furniture, maintenance, HOA fees, homeowner's insurance, fixing or replacing a busted HVAC, etc... When the home is yours, all of those expenses are up to you. When you're renting, you're free from that added financial responsibility.
You'll be ready to buy your first home when you're debt-free with an emergency fund of 3-6 months' worth of expenses, and you've got a down payment of at least 5% of the home's price. (20% is much better to avoid having to pay extra each month for private mortgage insurance.) I only recommend a 15-year mortgage where the payment is no more than 25% of your take-home pay. You need the other 75% of your monthly budget to pay your other bills and have margin to LIVE YOUR LIFE.
Trust me, "house poor" isn't something you want to be.
Until you're actually READY to buy, renting is never a waste of money.
Ctto.
