Rent Instead Of Buy These 5 Things
As we struggle to pay our student debt, we're very cautious with most of the expenses we make.
(When alcohol becomes a factor we all seem to think we're Donald Trump, and we spend money like we've got it to blow.)
When every cent is being counted, buying things is never easy.
The good news is there are so many things you can rent instead of buy. The bad news is most people don't know which things are better off being rented.
So I'm here to help.
Here are five things you should absolutely rent instead of buy:
1. A House
We all know the biggest problem of a Millennial is not being able to own a house.
But this is only a problem if you let it be one.
Think of it this way: You can rent a house, and wait to buy your own when you can afford it.
Financially, renting a house is a wise decision. Especially if you plan to move any sooner than a few years.
If the market is offering extremely expensive houses for sale, renting is wiser because it'll allow you to wait until a good deal comes along for you to buy.
From another point of view, some people can't buy their own house if they don't have enough money to make a down payment and can't get a loan. This is where renting is beneficial.
2. A Boat
Owning a boat isn't exactly the "American dream," nor a Millennial's dream for that matter.
But every American who lives near a source of water knows how great a Sunday spent cruising on the boat is.
However, instead of dreaming of buying a boat, rent one or co-own one.
Most people only use their boats three to four times a year, strictly because they can be a hassle to take out.
Others might use them every weekend if it's sunny. But the chances are most people are in places where you can't be on a boat year-round.
All the costs and fees of owning a boat (maintenance, docking, repairs) exceed the costs of renting one for the holidays.
In fact, if you look carefully, you might be able to rent a yacht for a cruise, especially if you gather some friends to share the cost.
If you're not a craftsman, you should probably consider renting tools.
Why spend the money to buy a specific tool for a project and then have to find a place to keep it until you need to use it again in a couple of years?
Most tools break down if they're not frequently used, so investing in them isn't the best option.
Next time you make your shopping list for a DIY project think realistically about how many times you're going to use the tools you plan to buy. Then, compare the cost of renting to the cost of buying and see how you can save more.
Of course it's handy to have the essentials like a screwdriver and hammer in your house, but an axe probably isn't something you need to own if you live in suburban Brooklyn.
4. Video Games
Have you ever thought video games were a major financial hole?
When you buy a game you pay for it, play it and finish it within a few days, or a week at most.
Once you finish it, it goes into the pile of other games you finished never to be touched again. Such a waste, right?
If you want to play the game all the time and you're about it, go for it by all means. But if you know you'll only play for a short period of time, rent it.
5. Sports Gear
How many times do you actually use your snowboard? How about your tennis rackets?
I know it's more comfortable to own your sports gear, but if you want to take the sensible decision, you should be renting, especially stuff that's seasonal.
Instead of investing your money in fancy gear (which adds clutter to your house), find a place where you can rent for affordable rates.
Renting your ski equipment from the shop on the slope is the worst decision ever, they usually have the highest prices. Instead, look for shops located further away from the attraction and read their return policy carefully.