Homeownership can build equity and provide long-term housing stability, but elevated home prices and borrowing costs put it out of reach for some. And while renting avoids the upfront cost of buying and can preserve more cash for savings and investments, high rents can make it harder to get ahead financially.
There’s no universal winner in the rent-versus-buy debate. The answer depends on the full cost of buying, what you can comfortably afford, what else you could do with your money and how long you expect to stay in the home.
For Tina Tehranchian, C.M., a Senior Wealth Advisor at CI Assante Wealth Management Ltd., that broader view is essential.
“The objective of the financial plan should not be simply to find out if you can afford the house, but it should be to find out if you can afford the house and still achieve your other financial goals,” she said in an interview held for MoneySense…
