Why It's True: You Should Own, Not Rent

The "Nigerian Dream" means owning your own home rather than renting. More so, after the financial/banking meltdown experienced in the country in recent time, the dream is very much alive! But what, exactly, do people value the most in owning over renting? A study by Fannie Adekunle of Property Interest shows that most renters aspire to own someday, though they feel it may be more difficult to buy than in the past. The strong appeal to owning is rooted in the sense of control.


The survey revealed the following top reasons why renters want to own:

    “Control over what you do with your living space”: 84% of renters said this was their main desire for owning;

    “Having a sense of privacy and security”: 80%

    “Having the best investment plan”: 78%

    “Having a good place for family or to raise your children”: 78%

    “Living in a nicer home”: 71%

    “Building wealth”: 70%

    “Saving for retirement”: 69%

In the survey, renters identified the following reasons for why they are renting:

    “Living within your budget”: 57%

     “Making the best decision given the current economic climate”: 50%

So do renters' survey responses reflect a sound understanding of the benefits of owning over renting? For the most part, yes. Financially, owning is preferable so long as one will stay put long enough. Generally, it takes four or five years for a home's price to rise enough to offset the various costs of buying and selling, such as transfer taxes and real estate agent's commission.
So when those renters do look to buy, the best move is to buy the least expensive home that satisfies their needs and to invest the savings in some other way.

What is your opinion on this? Would you rather rent or buy?

 Egedi Oluwatoyin