Should we buy an apartment or use idle capital to rent?

Should buy an apartment is not the concern of many people. Since 2014 marked the boom of apartments and apartments. The proliferation of this type of real estate helps to solve the housing shortage. However, there are many people who wonder whether to rent or buy an apartment. The following article will give you some " tips and tricks" to help you make decisions.

1260 living apartment space

The nature of renting or buying an apartment for rent in district 2 can be said to be completely different, but overall, both options ensure that you will have a home to return to, to build a home. In fact, no one can pat your chest, asserting which option you would prefer. When the " I want to own" mindset is ingrained in the minds of the Vietnamese, making decisions is difficult. However, do not be too emotional but carefully consider the real estate trends and situations before making a decision.

Should we rent an apartment?

In our opinion, the choice of whether or not to buy an apartment or bank deposit interest on an apartment or a private apartment for rent in District 2 should consider the following factors:

1. Financial issues decide whether you should buy an apartment or not

To make this clear, let’s try to make a calculation comparing the financial options between buying an apartment or sending bank money to rent an apartment as follows:

Suppose you intend to buy a mid-range apartment in district 2 with a price of 1.6 billion VND, and plan to prepay 50% of the apartment value, the rest will proceed with a 15-year bank mortgage loan. with the average interest rate of 12% / year throughout the loan term. It is assumed that during the loan term, customers do not pay before the term, so after 15 years the total cost of buying the apartment will be about 2.5 billion.
In case you use the idle amount of money to send to the bank to get an apartment rental for a period of 15 years, the average rent for an apartment in district 2 currently ranges from VND 6 – 7 million / month, the price increase rate is assumed. 2% / year, then after 15 years the total cost of renting an apartment is about 1.5 billion.

Thus, it is clear that the amount of money to rent a cheap apartment seems more reasonable than the plan to buy the whole unit. However, it should be noted that when renting an apartment building, there will be no ownership, sale or mortgage of apartments for consumption, business activities at banks …
In addition, after 15 years if you continue to rent, the amount of money will continue to increase, and if you buy an apartment for rent in Thao Dien Ho Chi Minh, after 15 years you will not have to lose any more money, but more importantly, from the date of delivery. , you can also sub-Lease to earn more income to repay the debt. In addition, depending on the quality and location of the apartment, the value of the property will increase over time.
Because of many limitations, renting is often less desirable and can only be selected when people in need cannot buy an apartment in Ho Chi Minh District 2, or this is the option for immigrants to the city, who have no financial resources.

2. The personal viewpoint affects the decision to buy an apartment

Ignore financial issues and care more about personal and family issues. If you are a married person, afraid to change, want a stable life and have the thought of " settle down" you should choose to buy a mini apartment instead of sending money to banks and taking profit to rent together. populate. In addition, owning a private apartment will ensure your independence, pride in proving the stable and solid financial potential.

1266 modern living room

If you are’ re-renting, you’ re at risk of a lot of annoyance: the tenancy period (it’s hard to find a rental for a long period of 10 years and 15 years), you may have to relocate many times. If a suitable place cannot be found and long-term leases are available, landlords may force tenants to relocate when they want to take back their property or suddenly increase the rent, and their tenant’s privacy and freedom are also limited.

However, in such cases, you should think more about buying an apartment instead of renting an apartment for rent in Thao Dien. However, if you are young, unmarried and not afraid to change, problems when renting apartments or private apartments for rent in Thao Dien may not affect you much. You can freely choose between buying a home or renting an apartment.

When you rent apartments in Ho Chi Minh City?

Currently, most people rent apartments in one of the following forms: renting an apartment, the collective apartment can rent a Saigon apartment or other options. We all know that when renting an apartment, the first expenses will be the monthly HCMC apartment rental, the cost of security enhancement or the cost of housewares will be used.
According to the term of the contract, in the following years, the rental fee of Ho Chi Minh apartment district 2 will increase according to the agreement between you and the landlord. Maybe you do not have to care about fixed infrastructure such as room structure, electricity, and water lines. But in case you want to repair the structure of the apartment as you like, the landlord usually will not allow and then your family may not be able to use the infrastructure of the room at will or use it in a state that does not safe.

In addition, landlords can increase the rent according to the market if desired and then the cost of renting apartments in Saigon increases, which is always an annual concern of renters in Ho Chi Minh. Your landlord has the right to set restrictions for your family, such as not having cats or dogs, not playing loud music or redecorating a room. Your family also cannot change the purpose of using the room (sublease, make a company office) because you are a tenant

So where are the benefits of renting?

Of course, that’s financial, you don’t need a lot of money to have a living space. The money to buy an apartment can be enough for the whole family to rent the apartment for 20-30 years. You can also move freely to other areas more convenient (if desired). In terms of furniture costs, you can also reduce the cost of shopping when the owner agrees to use household appliances, or repair old equipment and continue using it. In case the market price of apartments decreased, you will not have to worry about losing large sums of money because buying a home at a high price.