Renting often gets a bad rap as a waste of money while you pay off someone else’s mortgage.
But as mortgage rates and housing prices keep rising, causing homebuyers to take an average of 15 years to break even compared to renting, many Americans are turning to rentals as a means to build savings.
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“People need to balance smart money decisions with quality of life choices,” Todd J. Drowlette, real estate broker, investor and star of A&E’s The Real Estate Commission, told Moneywise.
Drowlette added that it’s often “smarter to rent over buying a starter home” because buyers may stretch their budgets and have little left for repairs or upgrades. “I often recommend skipping the starter home, saving up and buying the forever home a few years later.”…