Everyone wants to own their dream home, however with today's rising home prices actually purchasing the home you want may not be an option. With the increasing population the pressure to supply housing at a reasonable cost is just a dream in most suburbs.
The other option of renting may be more appealing as you can choose the suburb and style of home without having to pay a hefty mortgage. In either case the decision lies in your personal aspirations, what you are willing to settle for and what your personal finances allow you.
The alternate scenario is investing in property. For younger people still living at home studying this may be an ideal stepping stone to allow a foot into the real estate market. Investing in an affordable apartment will provide the rents and capital growth to allow the investor to smoothly purchase their own home in due time.
Alternatively many people invest in a property and live in a rental property a much more attractive home than they could afford to purchase. There are many alternative scenarios that can be used to create wealth including long term and short term properties which when used correctly can rapidy increase your wealth creation and improve your lifestyle.

To Rent or to Buy

Home ownership is the great dream. The recent boom in house prices showed just how effective property can be as a means of building wealth. But rising property prices have also made home ownership less affordable for thousands of Indians. So are you better to buy or is renting the way to go? Deciding whether to rent or buy means weighing up your financial, lifestyle and personal goals.

The Case for Renting

Renting a home offers many advantages. In most cases, your monthly rental will be cheaper than paying off a mortgage (assuming you pay the usual 10 to 20 per cent deposit). Renting is also more flexible and less complicated. If something goes wrong, the owner pays to fix it, not you. Renting is also about lifestyle. You might be able to rent a nice flat or a townhouse in City, but could you afford to buy it?

The obvious advantage of buying a home is that you are investing in an asset that should grow in value over time. Moreover, each mortgage payment brings you closer to owning your home outright. Home ownership gives you security and control. You can alter your home whenever you like. And the high repayments in the early years of a loan force you to save money you might otherwise splurge.