Renting vs Buying

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than homeowner's insurance for a comparable property.

Why Buy?

Wealth creation: By paying the mortgage each month over many years, you will likely build up equity (the current value of the home minus what you owe on your loan) for a down payment for your next home or for some other purpose, such as retirement. And, if you live in a home long enough to pay off the mortgage, you will have a valuable asset to sell or leave to a family member. But after 30 years of paying rent, you will have nothing to show for it in terms of a home of your own. If you pay off your mortgage, you'll also have one fewer payment to worry about each month (although you will still have to pay real estate taxes, insurance, repairs and any homeowner or condominium association fees).

Stability: You can put down roots in a community you like. Owning a house can be satisfying in itself.

Fixed-rate mortgages: Landlords can raise rents, but if you buy a home with a fixed-rate mortgage, most of your monthly payment (not including real estate taxes or insurance) won't change for 30 years, 15 years, or however long you have that mortgage. It's important to remember, though, that taxes or insurance could still go up.

Source: FDIC