Renting vs. Buying Homes in Florida

October 28, 2020

If you have made the decision that you want to move to Florida, congratulations! Florida is a beautiful place to live, with white sandy beaches, turquoise water, vast wildlife, and nightlife like no other. Now is the time to decide whether you want to rent or buy a property in Florida. There are pros and cons to each available situation, which is why HH Insurance, your local Tampa homeowners insurance company has generated this list to help you make the final decision on whether to make the big purchase or stay fluid by renting. 

Renting-

Pros: 

  • There aren’t many costs at the beginning. Typically landlords only require a security deposit and first month’s rent to receive a space. If pets are in the picture, you may be required to pay an animal deposit, but that shouldn’t be more than a few hundred dollars if that is the case. This means if you have the financial ability, moving into a rental property can be quite simple. 
  • Along with having a stable financial situation, by renting a home, you don’t have to invest in Tampa homeowners insurance. While having this is not required by the state of Florida in the first place, it is highly suggested to have when buying a home and can be a lumpsum of money. 
  • Repairs and upgrades come with renting a property. When something breaks or isn’t working properly, you call up the landlord and it is their responsibility to fix it. 
  • After your contract is up, you can pick up your belongings and move somewhere else if the space isn’t your favorite, or if Florida isn’t your home. 

Cons:

  • Along with your landlord being in charge of repairs and upgrades, this means that if something on the property isn’t your favorite or up to your standards, you don’t have the authority to fix or change it. Going through a landlord for repairs can take a few days to weeks as well. You are at the mercy of your landlord or the management company to decide when and how things will be done, which can make renting a big problem for some. 
  • Living in a state such as Florida, that is prone to catastrophic storms and natural disasters, renting can free you from the hassle of having to pay for storm damage, no matter the severity. Yet, if the damage isn’t severe, or minor cosmetic damage, this may take weeks to months for your landlord to repair.
  • As mentioned before, Florida experiences some pretty tough weather conditions. If the house was to be damaged during one of the storms, the home repair cost wouldn’t be coming out of your pocket but replacing all of your damaged furniture and other belongings does. Most landlords don’t require renters insurance, which is similar to Tampa homeowners insurance, but it is not necessary. It is up to you to decide whether the weather is something to risk or not. 

Buying- 

Pros: 

  • The housing market in Florida is booming, and purchasing a home in the Sunshine state can be a profitable investment. The price of purchasing a home is roughly similar to building a new home, making each quite affordable considering. This leaves plenty of money for your Tampa homeowners insurance coverage. 
  • You can choose almost every aspect of your home. Where you want to live, every decorative feature, the interior and exterior, and so much more. An HOA (Home Owners Association) can limit what the homeowner can do with the exterior of the house, but if you don’t want to deal with one of those, then live somewhere that doesn’t have an HOA! The possibilities are endless. 
  • Buying a home means that the monthly payments can eventually be paid off, unlike with renting, where you pay monthly rent until you move out. If you were to pay $1,500 in rent a month, that totals $18,000 you have paid for your home, and don’t own any of it. 

Cons:

  • Owning a home requires you to be financially ready to purchase a home, and that decision isn’t only made by you, it is also up to your bank if you are applying for a house loan. The financial duties don’t stop there, while the state of Florida does not require Tampa homeowners insurance, it is always your best bet when wanting to protect your new investment. While this can get to be an expensive component of purchasing a house, working with local Tampa homeowners insurance companies such as HH Insurance will ensure that you get the best bang for your buck!
  • Not only are repairs and maintenance up to you, you are in charge of paying for them, making all of the decisions that come with repairs, and making time to perform the maintenance or paying someone to do it for you, long story short, this can be a lot to handle. 
  • Lastly, understanding that the weather Florida endures can damage and permanently destroy your property. Meaning, if you don’t want all of your money going down the drain with the floodwaters and other debris, having Tampa homeowners insurance through HH Insurance can save you from this devastation. 

 

Whichever path you decide to go down when looking for a property to call home, living in Florida is a great decision overall, and HH Insurance highly recommends it. Make sure to do thorough research of the area, its threats, and also the advantages of living there. Understand the process of either renting or buying a home, and whichever you decide to choose, allow HH Insurance to be your Tampa homeowners insurance provider or renters insurance provider. 

 

**This blog provides a brief overview of the terms and phrases used within the insurance industry. These definitions are not applicable in all states or for all insurance and financial products. This is not an insurance contract. Other terms, conditions and exclusions apply. Please read your official policy for full details about coverage. These definitions do not alter or modify the terms of any insurance contract.