by FIDELITY VIEWPOINTS – 10/03/2018
For generations, buying a home was considered the cornerstone of the American dream. However, in recent years, people have been debating whether buying a home is always better than renting. "A lot of financially savvy people are starting to question whether it's economically rational to buy a starter home or to wait and buy that dream house where they'll live 30 years," says Adheesh Sharma, vice president of financial solutions at Fidelity.
There are arguments both for buying and for continuing to rent, depending on a potential homeowner's individual circumstances. To help you understand these variables and evaluate your own situation, here are 5 important questions to consider as you make the buy-or-rent decision. You can also try Fidelity's Rent vs. buy calculator that lets you plug in your own numbers to see the difference that buying or renting might have on your long-term finances.