Property acquisition or property rental? The dilemma is an ongoing one for all: couples, married or single persons, and even retirees. The same question comes and goes but the perspectives vary according to each one’s needs, way of life and, of course, budget. To help you go through the options and advantages of buying and renting, here is an overview.
To buy, a life-long solution
A real estate acquisition can entail an investment for life. To serenely face such a stake, all pertinent information must be gathered first before envisioning the purchasing process. The Mauritian market has a wide range of offers: garden-level apartments, duplexes, studios, condominium houses, private villas… You will have the choice! But a property acquisition is a demanding process, often over a long period of time for those who do not have a large initial budget. However, the rewards it brings along are manifold.
The pros of buying:
1. Free to be at home: Buying a property is undoubtedly the most expensive decision in terms of price, of maintenance costs and fees. But it does guarantee the freedom to customise the acquisition according to your whims and needs. And it goes without saying that you will find the intimacy of your home sweet home! Moreover, you will avoid sound pollution with a private house and less for a condominium house thanks to the fact that you will not have to share your walls, floor and ceiling with neighbours.
2. Co-ownership for better safety: If you find living in an apartment appealing and if you are not deterred by the fees of the co-owners’ association, you may willingly opt for this type of acquisition. One of its main assets, as compared to private houses, is that taking care of the garden or outdoor areas will not be of your responsibility. And you will certainly gain a sense of being safer if you live alone. An extra selling point which might help you make a decision? Co-ownership may be less straining for your budget as compared to buying a house or villa.
3. A financial investment: Despite the growing popularity of private villas and houses in gated complexes, we cannot forget that they are very expensive. But consider the fact that they help a buyer build a real estate heritage in the long run, for those forecasting their retirement or to pass on to the future generations. Unlike a rented dwelling, the monthly payments of the mortgage are not lost. The opposite comes into account when customising and revamping as these works will ease your daily life and give an added value to your property. In the case of reselling, the capital gain obtained from such a long-term investment will help you buy a new property or even invest.
To rent, the transitory solution
Opting for property rental is ideal when you are only starting your working life as well as when other major projects compel you to find a transitory solution. A first property, a job opportunity, a long-term stay abroad, or moving to another region or country.... These cases call upon renting as the best option.
The pros of renting
1. Temporary solutions: While the rental market has undergone a conversion over the last years, several high-end properties are now accessible: apartments, studios, appart-hotels and IRS/RES/PDS villas rented by owners having a secondary residence. They represent a unique opportunity to find exclusive real estate products without investing in a purchase. From a financial standpoint, the burden avoided by a first-time buyer who does not have an input is consequent compared to buying a property and paying the monthly installments of a mortgage loan. This is why renting on a temporary basis brings along more advantages. Moreover, a long-term rental can give him or her the opportunity to settle down for some years, without having to renew the lease.
2. An adequate surface area and conviviality: Those who live alone, like young adults, students and single persons, often look for small apartments or studios to rent. Apartment-sharing is thus a good option in terms of convivial moments as well as lesser costs. The first floor or ground floor of some houses are also an option for rental as you gain a feeling of independence while not being isolated.
3. Furnished properties: A fully-furnished house or apartment? A windfall for those having a limited budget and who do not want to experience the hassle of buying furniture. Though an fixed list of pieces of furniture required per rental does not exist, the property must fulfill one’s basic needs, if the tenant only brings small items. Therefore, it is important to look for a place where there is the basic furniture as well as household appliances: tableware, bed, chairs, refrigerator, washing machine, and cooking devices. Comfort and convenience will then meet.