Renting Versus Buying: A Real Estate Expert Breaks It Down for Us

The renting versus buying dilemma is one my friends have started to face since they've begun leaving Manhattan and escaping to the suburbs (I'm still not there yet, but when I think about how much money I "throw away" each year on rent, it's actually cringe-worthy). But, maybe it's true when they say the grass is always greener. Buying doesn't come without its own set of problems, considering both sets of my friends who recently purchased homes faced movers damaging their patio, gas leaks, and even a broken washing machine within the first week. (They've confided in me that their bank accounts are still recovering.)

Since we're no experts on the topics, we decided to tap Scott McGillivray, a real estate/renovation expert and TV host, to get his professional take. "Neither renting or buying is intrinsically right or wrong," he says. "It basically comes down to your goals and your lifestyle." That being said, he encourages getting into the real estate market once you feel financially prepared to do so. And what if you're worried about going all in? McGillivray suggests trying a practice mortgage in which for one year while you're renting, you put aside the amount you'd have to pay as a homeowner (mortgage, property tax, potential repairs). This gives you a realistic idea of how your lifestyle and budget will be affected if you buy.

"If you can manage, go for it," the expert says. "And the bonus is that at the end you'll have some extra cash for a down payment." Since renting versus buying is no small debate, we asked McGillivray to break down all the pros and cons for each. Keep reading to get the full scoop.