Adulting. It’s a fairly new term for a very old concept—At some point, we all leave the nest, grow our careers, and start our own families. We manage paying bills, filing taxes, and choosing insurance policies. A little more than a decade, ago, however, “adulting” typically included buying a home. Such is not the case anymore as adults of all ages (millennials, Generation X, baby boomers, you name it!) weigh the real benefits of apartment living versus owning a home.
Part of the reason for this trend is a decline in the financial benefits of home ownership. Part of the reason is the aftershock of the recession: Many more young adults, especially, are facing massive amounts of student loan debt in the face of growing underemployment rates. For these reasons, more and more people are turning to apartments over houses. Which option is the right one for you? Weigh the pros and cons to decide what your next step in life should be.
Benefits of Home Ownership
Financially, home ownership has always been considered a worthwhile investment. Home price appreciation helps your property’s value increase over time. So, the longer you own a house, the more you should be able to sell it for one day. For example, home price appreciation grew by 97% in Little Rock from 1990 to 2007.
There are also notable tax benefits of being a homeowner in Arkansas. Mortgage interest deductions and property tax deductions can easily create additional savings for you. However, following the recession, we have seen a bit of a damper being placed on traditional homeowner tax benefits. Because mortgage rates have lowered, it has reduced the amount homeowners can deduct when filing their taxes. While this makes buying a home much more affordable, it does lessen the urgency to buy a home as an early adulthood investment.
Outside of the numbers, when you look at the quality of life granted by home ownership, it’s the right choice for many. You don’t have to worry about what your neighbors are doing on the other side of your walls. You don’t have to follow anyone else’s rules. You can remodel and rebuild anything and everything in your home to your heart’s desire. Overall, buying a home is a great choice to make when you are financially stable and ready to start the rest of your life on your own terms.
Benefits of Apartment Living
On the flipside, becoming an adult looks a lot different from what it used to. Millennials are getting married, starting families, and making investments later in life than their parents and grandparents did. Statistics show that many want to own a home eventually, but they just aren’t ready financially, psychologically, or both. And there’s nothing wrong with that! More and more baby boomers, additionally, are choosing to sell their homes and move into more luxurious apartment communities just to have more freedom after becoming empty nesters.
Families, also, can appreciate the benefits of apartment living versus owning a home. Many parents love that apartment communities present an opportunity for socializing with all different kinds of people. The diversity in an apartment community makes it easier for apartment dwellers of all ages to meet new people, network, and make friends.
Plus, when you consider living in an apartment, you can’t forget about all the incredible amenities:
- Swimming pool
- Fitness center
- Utility packages
- Technology center
- Community events
- 24-hour maintenance services
- Security systems
- And more!
With these incredible benefits included in the cost of your rent, you can spend more time doing the things you enjoy and less time doing household repairs. You also spend less money by having the resources you need at your fingertips to do the job for you. Goodbye, costly gym memberships and lawncare bills!
Making the Decision: Apartment Living Versus Owning a Home
Wherever you are in life, a decision about where and how you want to live is one that should be made after careful consideration. Take a hard look at your personal finances, career opportunities, and life goals. If you’re ready to buy a home, go ahead and make that investment. But if you’re not, find an apartment community that will enhance your lifestyle!
At Bowman Pointe, our entire community was designed with your needs in mind. Go ahead and take a virtual tour of our clubhouse and model apartment. Look out for the resort-like features, such as our sports lounge, wine cellar, 24-hour fitness center, and 300,000-gallon swimming pool! If you have any questions about apartment living at Bowman Pointe, contact us for more information.