To rent or buy in 2021?

[kb9nate]

So my gf and I have to start looking for a place to move to. Our landlord has decided to sell the property that we are currently renting.

I am on the fence about if we should look at buying a place or just look for another place to rent for a year or two and then buy hoping that by then maybe the prices have come back down.

Currently we pay about $800 a month in rent for a duplex and have been here for about 4 years. Everything in our area that is comparable is in the $1000 to $1200 range for rent. MAYBE $900 if we find the right one.

I really hate paying someone else's mortgage instead of building up equity in a property but does it really make sense to buy a place right now given how inflated the prices are? I don't like the idea of buying a place and then being under water on it once prices come back down. Neither of us really has any money for a down payment but we'd be first time home buyers and I think there are some programs where we could get one with little to no down payment.

What do you guys think?

 

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[LeszekM]

I don't know how exactly market looks in US right now but referring to your post it looks like it is similar here in Poland.

I have the same thinking as you, i can't manage with that feeling of paying someone else mortgage. I know that mortgage is not Fastlane but 6 years ago for a newlyweds, who needs some place to live it was a pretty attractive solution and i wasn't so aware of that.

We bought a flat here for 200k in 2015 and now we could sell one the market for 500k. What happened in the market right now it is crazy but it doesn't look like the prices will fall down. I live in the biggest seaside city in our region, we have many tourist here so i think the value of houses won't fall down or they even could raise further more.

I think it is worth to ask yourself about the place you want to buy this house. Is this regions popular, after few years if you want to leave it would be easy to rent/sell?

 

[psgroup]

I think it depends on the situation and your financial capability.
But what I think is to getting an own property or say house gives you relax & peace rather than rented a property.
what if you don't need to pay $1000 rent, that all sum of money you are going to either save or spend on other thing. Now think if you own a place that you have to pay between $1000 to $2000 as an EMI. By the time that place you purchase is yours and you don't need to pay anymore a rent to others. That property will give you a chance to create your another source of income and also property valuation increased so that in near future if you want to resale your property then it gives you a lot of money.
By the way property prices is being increased everyday. So, it is better to invest some bucks in Real Estate.