Renting vs. Buying
Luke Hesprich
Renting and buying can be the best of both evils especially if it’s a house or something small like a car.
Buying means that you can do whatever you want to the place cosmetically if it’s a home or even a car. Renting is a little different in that you can’t just do everything you want. It’s mostly cost effective for whoever is either renting the home or owning then renting it out.
According to the New York Times, “the rental economy is a part of a growing, post recession movement to value experiences over possessions.” So basically renting out places or cars is economically better for us in the long run. Entrepreneurs apparently say that anticipating something you want makes you more happy than actually having ownership over it. That is one big reason why renting is better than owning. Acquiring more experiences seems to be what we are into these days.
Other than that, this pie graph here shows on the right that more than 50% of people that live in the US rent rather than buy. On the left shows all of the brands that there are to rent from including the amount of people that are renters. Most people really don’t have a choice depending on how much money they have. Anyone can rent or buy, most people seem to rent over buy. But then again there are a lot of people that like having ownership over something rather than having something temporary. So then what’s better? Renting is better for the economy unlike buying, and renting is also mentally pleasing unlike buying. So it looks like renting is the best option upon buying after all.
Works Cited
Horton, et al. “Owning, Using and Renting: Some Simple Economics of the ‘Sharing Economy.’” NBER, 25 Feb. 2016, www.nber.org/papers/w22029.
Miller, Claire Cain. “Is Owning Overrated? The Rental Economy Rises.” The New York Times, The New York Times, 29 Aug. 2014, www.nytimes.com/2014/08/30/upshot/is-owning-overrated-the-rental-economy-rises.html.
Vollio , Anthony. “Is Renting Good for the Economy?” Economy, 2018, www.ecnmy.org/learn/your-home/homes-housing-economy/the-rental-market/.
I think that this is a very important topic that us as high school students need to understand. Many times, we don't know the difference or what is better for us in situations because we connect how our families did it when we are going up. I believe that as you are younger, renting is the better option, but as you grow up and you start to settle down, buying isn't a bad thing, especially if you know you are going to be there the rest of your life.
ReplyDeleteI think that a common misconception in society is that buying should always be the first option for anyone looking to purchase something, in which you proved wrong. I think that there needs to be more awareness towards this topic, as it is not talked about as much. Us high-schoolers need to know and understand the differences and pros/cons of buying versus renting.
ReplyDeleteI think that this article is very true on how people prefer renting because they don't have to own it so it isn't their responsibility and they only have to put extra money into it if they damage the product. Also people don't like to see the total amount of money they are paying overtime so renting kind of hides them from that.
ReplyDeleteI think that renting and buying can be a difficult decision sometimes. This might apply to the age group 18-31 because they might still be in a education. They might be buying books or other supplies as well. This would be a smart area to rent because your not going to use these items after your done. This would be the smarter decision out of the two.
ReplyDeleteI have always wondered why some people rent and some buy. I always assumed the amount of money someone had was a factor, but it was interesting to read that social and societal norms was a fact too. You can definitely see within society younger groups of people renting more than buying. While this might be just "what we are into these days," could it be that while people get older, they want to settle down more, so then they buy instead of rent? And when people are younger, they might not have as much money or don't plan on living in one place yet, so they rent and not buy?
ReplyDeleteAfter reading this, it makes me feel like renting is definitely and will be a trend in the near future because of the ideas and philosophies behind it. Nowadays you get more and more people who want to live these out of the ordinary lives and “pave their own path”, and it seems like renting is one way to do so. The idea about experiencing rather than ownership is an interesting reason why you should rent because some people like knowing they own things but some people don’t want to be stuck in one place for a long period of time so renting can lead to you being able to change positions quicker rather than owning and selling a house. It makes sense that it would be more cost efficient but I still feel that owning a house is a better long term situation for beginning families who need a stable life. If you are retired or know you have your life made up for you, then I suggest trying to rent houses and cars to experience life even more.
ReplyDeleteFor most people renting vs buying can be a serious topic especially for many, and a decision that most likely everyone in the world will have to make some day. I like how in this there is a very descriptive reasoning for why people buy, and why people rent. I also liked how you were able to site a very reliable source talking more openly about the topic. I thought overall it made for an interesting blog!
ReplyDeletewhen buying something or renting something it can be really tough on a person especially college students and first time renter/buyers. but a technique that can be used is like when college students have to rent out an apartment it would only be temporary and that after college they could move out and get a job and then buy a nice house. which would be the more beneficial decision.
ReplyDeleteI never understood why some people rent and some people buy. I feel it would make more sense to just do one or the other than have both. But after reading, I understand that renting is easier and safer decision when it comes to the economy. Do you think renting and buying will always be options? Or will it eventually switch to just one?
ReplyDeleteBased on your writing, I agree with you that in some ways, renting is better than buying. Looking at your evidence from the New York Times, I agree with the fact that it is about the experiences over the possessions. For example, my family currently rents a house because we are using our money differently than if we would own a house. It isn’t about what we own, it is about the experiences we make along the way. Moving on to the rest of the evidence that you provided, I can see that more than 50% of people rent rather than buy, however it depends on all kinds of situations. Whether they can afford it, or just looking for a temporary home before finding their forever home. In the end, while renting may be better for the economy, it depends on individual situations to make the decision on whether they should rent or buy.
ReplyDeleteRenting vs buying can be a very interesting topic especially for many, and a decision that most likely everyone in the world will have to make some day. I like how in this there is a very descriptive reasoning for why people buy, and why people rent. It makes sense that it would be more cost efficient. If you are retired it's better to rent houses and cars.
ReplyDeleteThis comment has been removed by the author.
ReplyDeleteI disagree that renting is better than buying, from a personal standpoint, as you can pay off mortgages, but if you're renting an apartment for a long time that's a constant stream of money going to the landlord. While it might be good short-term, it defenetly isn't long-term, and is just a way to lose more money in the long run. Though, of course, there is also the point that you are not responsible for maintenance when you are renting, so it may be better for an older, retired resident.
ReplyDeleteEspecially for us at such a young age, renting vs buying isn't really a main focus. In fact, I haven't put a whole lot of thought into it considering it feels like forever until we need to start looking into this type of stuff. Thanks to this article, I now know more about buying vs renting and the differences that play along with them.
ReplyDeleteWhy do you think people rather rent then buy espicaily when you buy you get to do whatever you want with it?
ReplyDeletePersonally, If I don't have the money I will not buy or rent something. I appreciate that you wrote about this topic because it's not an everyday topic for young adults like us. You also backed up all your statements really well with credible sources making your writing even more effective.
ReplyDeleteI think that you wrote about a good topic because it's something that people have to deal with all the time. You also used quotes from New York Times and your statements could then be highly believable.
ReplyDeleteI think the big part of this, specifically when it comes to larger purchases/rentals, it is very dependent on the larger scope as well. For example, with housing, it doesn't make sense to buy if you are going to be there for six months but at the same point, if you will be there for 40 years, you can pay a house off if you buy versus if you rent, it never goes away.
ReplyDeleteEven though the majority of the US rents rather than buys a house that doesn't mean they would prefer it in the long run. If you are renting a place during college or when you first start a job that is a better option, but that is only for a short period of time. When you become more stable a better option is buying a house since you can pay off the house and then rent it out yourself to make money.
ReplyDeleteLogan Nettesheim
DeleteI think this is a very important topic to think about. Even though it's not necessarily something we need to think about now, being proactive is best. Not only is important to note the differences, but it is also crucial to look in the long run. Although renting may seem best for the time being, could yo save money longer in order to buy? Is this going to be what you want in a few years? Both are important things to consider between renting and buying,
ReplyDeleteThis post made me think about renting versus buying and I agree that renting seems like the best option. Though you can often make something buy your own, as you said, it's better to rent in case a better option for something you're renting pops up in the future.
ReplyDeleteThis is an interesting topic. I believe that renting can be an advantage to many people rather than buying for many different reasons. For example, if you tend to be a person who likes something new or likes to have whatever the trends are, it would probably be smarter to rent out something like a car because it allows you to get a new car every couple of years, allowing you to get something new or something that is the new style. Additionally, I think it was interesting to see the graph and noting that being married vs. not married could also have an impact on whether you rent or buy because you might be in a different financial state when you get married vs when you weren't.
ReplyDeleteI always thought renting would be the first step and buying would be the overall goal. I thought it was very interesting how you said that anticipating something you want makes you more happy than having ownership of it. Another thing that I enjoyed was the pie charts showing statistics of rent vs. buying. You really opened up my thoughts on how I thought of buying compared to renting. Nice job overall!
ReplyDeleteI think that this is a good topic to be considering as students who are still in high school and still most likely live with their parents. Renting is definitely a good way to start out while you continue to build up your funds. Buying things before you're really able to afford them and taking out loans can be extremely problematic if not handled correctly and simply renting prevents this issue from occurring.
ReplyDeleteIn all honesty, I never really even think about how many people rent things versus just buy them all together. Now that you have addressed it, I feel as though this is something that needs to be more widely known by others, seeing how sometimes renting may be a better alternative for a person at a given time. Some people struggle financially, and may not have all the money they need right away to pay something off, so renting may be their best option. This could ultimately prevent any debt a person may fall into, and can overall help someone balance their budget.
ReplyDeleteI like this topic, very unique, I can honestly say i have never seen a article about renting and buying though i have always known the comparison existed. It is rather surprising to see the that the number for people who rent is higher than those who buy but I guess thats the facts. Buying is cheaper in the long run since you can be "done" with payments and its not a never ending bill. Renting could make a mercedes affordable however, maybe you only make 100k a year but you want to drive a new benz, they cost around 50-80k new so your not just gonna buy it, instead you will rent it and flex it like its yours.
ReplyDeleteIn terms of a car do you think it is better to own or to rent? I know it can seem hard to buy a car all at once so renting may be a better way to go but over time it may all add up to what it would cost if you were to just buy it. Should people rent cars or save up until they can buy and own their own?
ReplyDeleteWhen I first saw this article I thought it would be a simple answer. But after seeing this, it made me think about how you have to take into account what kind of person you are (if you like new things and like to move to new places a lot) because if you like to stay put or getting a new car every year isn't for you, then you would probably buy. However, if you are a person that likes to follow trends, or gets bored easily, renting would be a better option because it would allow you to be more flexible.
ReplyDeleteThis article brings a new perspective upon things in life. First, I just thought owning things would be better because then you don’t have to worry about paying a lot from renting. However, you bring up great points like it makes people more happy. That is a very interesting fact I never would have thought that comes from renting something. Renting can also be very good for someone who is on a tight budget, but if they plan on keeping that thing forever, then I believe owning it would be better in the long run.
ReplyDeleteThis article brings a new perspective upon things in life. First, I just thought owning things would be better because then you don’t have to worry about paying a lot from renting. However, you bring up great points like it makes people more happy. That is a very interesting fact I never would have thought that comes from renting something. Renting can also be very good for someone who is on a tight budget, but if they plan on keeping that thing forever, then I believe owning it would be better in the long run.
ReplyDeleteI never thought of people renting more than actually purchasing. It makes sense that it would be more affordable when some may choose to rent over buying but normally having more possesion over something, like a house for example, would open up more possibilities for customizing the house to be more like home. But overall, I think this article offers a new perspective for those that might be stuck.
ReplyDeleteThis is very interesting... I would have never thought that renting would be more beneficial for the economy. I always thought of renting as a stepping stone before you buy and become an owner of something, such as a property. Even though your piece expresses that renting is better than buying, I think that I am still in the buying camp. I'd rather have ownership over my things rather than renting them.
ReplyDeleteThis was a very interesting article to read, I was somewhat shocked when I saw that renting is better for the economy than buying, this is something I never really had thought of. While you said renting seems to clearly be the better option, I believe this is different for everyone. Of course financials would be the first thing to consider, there are many people out there who would much rather own their own things rather than rent it, and I wouldn't go as far to say that buying is "mentally unpleasing". However, this article did educate me and provide very interesting facts regarding this issue, and it is important that people understand everything regarding renting vs. buying to be able to make the right decision.
ReplyDeleteThis was a very informative article. This is information that will definitely come in handy in the future. Owning property does have its place however. Consider buying a house. You can consider that house an investment. You can buy when the market is low and sell when the market is doing well. You can also modify the house to make it more expensive to drive the price up.
ReplyDeleteRenting vs buying can include so many different things in our life including houses, cars, and money. I think that the 50% of people in the United States rent rather than buy is astonishing because renting doesn't come up in my family very much. It sounds like there are a lot of beneficial things that are caused by renting and I've now read many different blogs about this. I feel renting should be more prioritized in our lives and can save a lot of us money.
ReplyDeleteWhen it comes to a family setting, I think buying could sometimes come out on top. If you know that you are going to use something long term, buying usually has more pros than renting. For example, I've lived in the same house for my entire life, and it looks way different now than when my parents first bought it. My parents have made a lot of renovations that add to the houses market price. Yes the house has lost value over time, but with those renovations it might sell for a profit. Also, owning property allows for way more flexibility. If my parents rented this house, they wouldn't be the ones making decisions on renovations that should be made.
ReplyDelete