Repayments being Raised - Renting Revival ?

Over the past 11 months rates have increased massively.

With mortgage holders now seeing over 1000 per month repayment increase on home loans, there is a lot of reason to rent.

Renting offers at this stage largely a cheaper alternative to owning a property.

With Mortgage interest rates being so high the "Rentvesting" gang will be singing its praise.

And realistically this is not a bad option.

Renting and continuing to buy income producing assets like investment properties works in this current environment.

You can live in a suburb or house you may not be able to afford a loan for.

For example I was looking at a property in Trigg

This property is estimated to be worth 1.5mil
If i wanted to buy this property, My actual repayments with the bank would be 

2000 per week

950 per week.

Double the cost.

Now as a "Rentvester" you would be using the difference to invest in income producing assets like shares or property/

So as you can see.

renting in and area that is where you want to live.
Might be cheaper.

This is not meant to be forever.

It is simply until you can afford to pay a large deposit and have a low loan.
Or your income producing assets pay for your loan repayments.

Renting is not the devil.
It can be used as tool if done correctly.


Popular posts from this blog

Debt Recycling

Free Money Saving Information