Lots of first time buyers, and even people who have owned homes in the past, are stuck in a predicament when trying to choose between continuing to rent their place, or making the leap and buying a home. Renters have heard all the stories from their homeowner friends and family about how great it is, and they don't have to deal with landlords and rent. But is it really that much better to own a home over renting? Let's weigh the pros and cons of renting and see if homeownership benefits you in the long run.

Depending on where you live, renting can actually be less of a financial burden than paying a mortgage, if the price of a home is astronomical. This holds true in places like New York City, where home prices can be close to a million dollars easy. Also, when you rent from a landlord, the landlord is responsible for all repairs and maintenance in the house. So if something goes wrong, it's not your fault. However, even this can be detrimental to your living quarters, as now you have to depend on someone else to fix what could be a major problem in your home.

Now we'll dive into the disadvantages of renting, and you'll begin to see just why ownership overall is a better move than renting. We'll start with small things, like how you'll have control over the entire interior and exterior of your home. Most leases have provisions stating that you can't paint the house different colors than white, you can't replace various things in the house, etc. Homeownership gives you total control and allows you to change, modify, rip out, replace, whatever you want in the house.

Now it's time for the major financial aspect. Rent ALWAYS goes up. It just happens that way. But what do you get for that new rent cost? The same place you've always had, just a little more expensive. And when you leave, what do you get? A referral stating that you paid on time? Woo-hoo, start the parade. When you own your own home, not only do you have a place to live in where you control the amount of your payment through your mortgage and refinancing and getting a better rate or a fixed rate, you earn interest on the appreciation of the house. Throughout history, real estate has always gone up in value, regardless of current trends. If you look at it long term, the value always rises. Ownership in real estate increases your personal wealth and opens up a slew of new opportunities for you financially. This is a major advantage over renting, and one that should not be overlooked.

If you can't own at this time, that's okay. Rent and build your credit up. Save your money. But you should always be on the lookout for the opportunity to buy a home. It'll save you money in the long run, and give you the satisfaction of owning your own property, and not having to answer to anyone for it.