Buying an apartment is a costly affair, especially in large towns and cities. This leaves most people with two options of getting an apartment: rent or lease. Although the two terms are sometimes used interchangeably, they are primarily different. Let’s take a look at the differences, and see which option looks more promising in the lease vs rent situation.
Lease Vs Rent: Which One Is Better?
Reasons For Renting An Apartment
No Fixed Duration Of Stay
When you’re taking a house on rent, no set period of stay is established. If you’re searching for a dream house and need some time to purchase it, an apartment on rent will suit you better. When you think you’re in a position to buy the house of your dreams, you can vacate the rented house and end the rental agreement.
Also, if you’re continuously on the move because of either personal or professional reasons, you will find that taking an apartment on rent gives you greater leg room, as you will not be bound by an agreement to complete the established period of stay.
Rental Agreement Stays The Same Until Changed
The standard rental agreements hold true on a month to month basis. The agreement can be altered by the owner and tenant at the end of a thirty-day period, subject to rent control laws. Typically a 30 days’ notice is required for any change in the agreement. If no change is made to the agreement, it stays the same and gets automatically renewed for the next month.
Month-to-month agreement and the requirement of a 30 days’ notice period gives you flexibility. You can prepare to vacate the house by giving the owner a notice and not worry about breaking the agreement. On the other hand, the owner can hand you a notice and ask you to vacate as well.
Reasons For Leasing An Apartment
Security Of Stay Is Ensured
When you take a house on lease, the duration of stay is set, such as 6 months or 12 months. During this period, the terms of agreement need to be upheld by both you and the owner. That is, no change in the agreement will be permissible until the lease expires.
Paying The Lease Amount And Vacating The Property
According to the agreement, you will pay a fixed amount to the owner every month. You will not be able to vacate the property without breaking the lease. And if you plan to vacate the property, you need to ensure that the entire lease amount is paid. Defaulting on making the entire payment will make you liable in a court of law. You can however ask someone to take the place if you vacate, and pay the remaining lease amount.
Staying On After The Lease Period
You can stay on at your leased residence if you renew your lease. Additionally, if the owner is willing, and if you’ve been able to gather the requisite amount, you can buy the property as well.
The debate of lease vs rent is, in the end, a highly subjective one. Choose the rental arrangement most suited to your current and future plans in order to ensure a worthwhile investment.
Get your Society on ApnaComplex – Today!
ApnaComplex is India’s most comprehensive web based housing society accounting, management and communication software. It is designed to make the life of residents and owners a lot better by bringing in more transparency and accountability in managing a housing society. Check out the features of ApnaComplex and sign up your society today to get the benefits! We offer a free 30-day trial as well so that you can try before you buy!