How renting instead of buying can improve your finances

In the last decade, the idea of sharing and monetizing the things you’re not using has become a cultural phenomenon. Thanks to technology, people are now sharing everything from homes to pets. Have an empty guest room? Airbnb can help you. Got a car and a few extra hours on the weekend? Uber can match you up with a rider.

So the question arises, what is better to do, own or rent?

1. Renting property is good when you need the flexibility to move.

A lot of people want to own their own property, but renting is often a better choice. Flexibility. You own your house; you’re responsible but renting gives you more freedom. For example, if you want to travel and discover the world, start a new job or when you want to discover the other area of your city you can move. Today, ownership can be more of a problem than a bonus.

While tenants live in relative peace, homeowners must think about minor and major repairs, the overall maintenance of the house etc. Around 4.44 million households were rented privately in England in 2020.

2. Renting is good when you don’t have enough money to buy.

Renting is a fantastic way to use specific items without spending a lot of money and also a great way to try out different products before you buy them.

For example, you could rent a camera or even building tools to try out before you buy one. Check out some useful links of where you can rent items here: Fatlama, Musicalinstumenthire, Wex, Whirli.

3. Renting is a great side hustle.

Renting your possessions doesn’t just make more money; it also earns you passive income!
If you have a particular product that is too inconvenient to own but is something people need occasionally, you can probably make money by listing it on a general rental marketplace.

Drones, music equipment, audio/visual equipment, tools, and party supplies are just a few of the categories that come to mind, but you’d be amazed at the things people are renting (and how much they charge).

4. Renting is the one thing we can do that has a real effect on climate change.

Renting is transforming urbanism and, with it, society. Renting makes cities more walkable and bikeable, and transit-friendly. It makes cities more livable, more economically diverse, more environmentally friendly, and more socially cohesive.

A great example of how renting an item can be better environmentally than buying it is clothing. Fast fashion, which has generated a lot of cheap clothes, has also generated a lot of pollution. That’s because textile mills are one of the world’s top polluters, accounting for more than one-fifth of water pollution, 10% of global carbon emissions and using 20,000 chemicals, many of them carcinogenic. Clothes can be reused, which would help to reduce manufacturing, shipping and storage. There are many great options for renting and selling clothes. Here are some of them: Vinted, Shopify, Onloan, Hirestreetuk.

Summary

Some things are better to rent than to buy.

Renting instead of buying is a great option if you need flexibility, you’re looking out for your finances, you only need to use something once, don’t want to worry about upkeep or want to do your part for the planet.  

Thanks to technology, you can rent almost anything. 

Let us know your stance on the debate: renting vs owning?