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    Buy a house or rent an apartment?

    My aunt and uncle are renting now. They are 62 years old and only have little money saved. They both work, but make just enough to live by and save some for the future. Would it be wise to buy a house at their age or keep renting? I've been telling them to rent and save money for the future because I know living in a house costs more. But I want to hear what you think.
    If they buy, they can only afford a small, old, inexpensive one in not so good neighborhood.

    +3  Views: 607 Answers: 11 Posted: 10 years ago

    11 Answers

    Have you considered senior citizens facilities in your local area. The management takes care of the repairs that need to be done in the apartment, no mowing grass, etc. Some facilities offer exciting activities, also, the opportunity to meet new friends.
    The housing market is still in a slump. You can get a very good deal on a foreclosed home, but you need to know what you are doing. At their age, I would rent. It will get tougher to keep up a house the older they get.
    schubee

    Thanks, I think so too. What about after they can no longer work? What might be options for them, where to live?
    FreedomFighter

    I would move to a warm, dryer, climate, as the cold and damp affects the bones, joints, and muscles the older we get. Also, if in the U.S., a state with low taxes. If assisted living homes are available, they might enjoy them.
    If they've never owned a home, they should be aware of the cost of maintaining a house and property. It ain't cheap. They require constant maintenance. If they are not able to do the work themselves they will have to pay someone. I cut my own grass, trim or cut down trees. My lazy 44 year old neighbor pays one of the neighborhood yo-yo's $40 a week for grass cutting. To cut down a 4o foot tree will cost you $1000.00 at least.So there are hidden expenses that will be incurred. My house is five years old and my wife is constantly painting something every year. (I don't paint). Much less hassle renting if your not willing or able to put a lot of time into it. Neighborhood is very important as well, you don't want to live with bars on the windows.
    itsmee

    well, ed shank ... the neighborhood i live in is pretty much ok. however, i sleep with an alarm, a device to call my husband, (we sleep amiably in separate beds) a phone, a flash light, a small pair of scissors (for surprise attacks), and last but certainly not least my full can of WASP SPRAY. (i do not intend to spray white, anglo-saxon people) it's just that i hear that WASP SPRAY will paralyze an intruder while i reach for all my other Weapons of Instruction.
    the street people are really picking my town to camp out in. "oh this economy is what we hear."
    I don't have bars on my windows but i do have a locked gate and metal fencing surrounding my home.
    p.s. why is your wife painting all the time? you'll have to put her on the line. : )
    Jenn

    I want to paint every spring and fall.. Idont but I get all paint crazt twice a year.
    keeping up and fixing up an old house will wear them out. renting sounds like the better thing.
    How about a retirement community? I have no idea about costs or anything but you might want to check out http://retirementcommunities.com/
    ed shank

    My mother in law's bill each month was $11,000. Not cheap.
    daren1

    wow how do they expect the average guy to pay that?
    why not a retirement park or somthing equevilent.although 62 years is rather young im sure they could be accomadating. i think buying a house at this stage in life would be to restrictive. i guess i would encourage them to scale down a bit and enjoy life,pocket the extra money if there is any....
    schubee

    A retirement park? You mean like nursing home? I need to give them some advices and before I do that, I want to have a clear picture of the path they should go in my mind. Thanks!
    daren1

    no nothing like a nursing home it was a modular home park . my dad lived in one in clear water florida. it was nice for folks 55 and up he bought the home straight out for 10 grand and paid a monthly (1998) maintance fee .. it was clean,safe and full of like minded people looking to enjoy their days!
    schubee

    $1998 monthly??
    Vinny

    Retirement park or village is not the same as a nursing home, its more of a commune for seniors. They own their 'condo' or rent it, there's all kinds of activities for seniors, its like a little town all for them. many oldsters love this, they sell off all their property and due to age no gains taxes.. When I get to that age, I think i would really like it, you're around people your own age and you can share the same time lines.. it would be great!
    daren1

    no sorry the year was 1998 that he bought the place. my mistake
    daren1

    it truelly is a great alternative,
    much better to rent at this point!
    It's extremely difficult to get financing if you are over 60 these days, it's difficult for anyone without perfect credit to get a mortgage. Also the bottom of the real estate market hasn't been reached yet in most areas.

    Renting is sometimes cheaper, but if you get a fixed rate and a great price on a property like 25% below market value or better, you should be safe? The payments would probably be cheaper then renting. But like many have said a retirement community may be the best bet.? Good luck with this..
    We are now at the piont we are looking at having to sell mom and dads property after he passes.. They already cant maintain the house or the land... One of my brothers has moved in to care for them the house and the property. Taxes are only going up. and land value has hit a downward spiral. If it were my chioce I would have my parents renting a place close by... No maintnance and no stress for the decicions that have to be made.
    What happens if the rents go skywards? In Australia, at the moment, rents are very high and there fewer places to rent. Every month, the landlords raise the rent. How much can a person pay?
    I really believe that buying a house is the best bet right now. The interest rates are still low and low to minimal down payment. Your putting your money in something you can show for. I used to rent and I bought a home and my payment with insurance and taxes are lower than what I Paid for rent. I can paint, garden, whatever I want. Its mine!!! At least talk to a banker and look things over logically! Good Luck to you!!!


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