Harriet The Home Owner and Rita The Renter: Compare The Pair
Hi there! We wanted to introduce you to a couple of people we know: Harriet the homeowner (who recently built her own home with First Home Buyers Direct and took advantage of their $60K first home grant) and Rita the renter. They’re the same age, both have the same income, share similar lifestyles and work in the same industry, but as you can see, Harriet is all smiles while Rita looks a bit worried.
That’s because she’s not sure that the money that she pays in rent each week is working for her as much as Harriet’s mortgage repayments are. Sure, she has an extra $60 or so a week to play with, but after seeing Harriet move into her brand new home, she’s wondering whether that money would be better spent on something smarter than UberEats.
To help you decide whether building your own home or renting is the better option, we’ve done a bit of a side-by-side comparison of Harriet and Rita for you.
Harriet: mortgage repayments go towards paying off her house and building up an investment that will increase in value in the future.
Rita: receives no long-term benefits from the money she pays in rent every week (in fact, it actually goes towards paying off someone else’s mortgage).
Harriet: built her own home and got exactly what she was after. She can also paint, renovate, decorate and landscape whenever she wants to suit her lifestyle and increase the value of her property.
Rita: had to compromise and find a property that was the best of what was available to rent. She also needs the permission of the owner to make any changes so pretty much has to accept the condition of the property as she finds it.
Harriet: never has to worry about rent inspections.
Rita: spends one Sunday of every month cleaning the house for a rent inspection instead of relaxing.
Harriet: has a good amount of certainty about her repayments due to a fixed rate home loan.
Rita: is subject to varying rental prices as a result of rental property supply and demand.
Harriet: has a sense of security knowing that she owns her home and doesn’t have to move.
Rita: is worried that her landlord won’t renew her lease and she’ll have to house hunt and move again soon. Yuk!
Harriet: can decide to have housemates of her choosing to help cover the cost of her mortgage (or not if she wants to live alone or with her partner, Peter the potential husband).
Rita: shares a house with two flatmates that have an aversion to house cleaning, buying toilet paper and doing the dishes.
Well, the good news is that if you’re renting like Rita then building your own home is a lot easier than you might think thanks to offers like our $60k first home grant and paying $0 during construction.
We also have a handy loan calculator that can help you figure out exactly how much to make your home ownership dreams a reality.
Want to find out more about how you can be living the home buildjusting dream just like Harriet? Get in touch with us today on (08) 9244 7444!
Posted by First Home Buyers Direct on 18 May 2018 | 0 comments
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