For individuals who own like a single rental property as an investment property, you could blame the banks. Maybe the tenants don’t have the 20% the bank would require for a mortgage. But they can afford the monthly rent for the larger house rather than a smaller apartment. Also the landlord takes on the risk here. (Market value, no Rent payment, property damage, maintenance…)
For individuals who own like a single rental property as an investment property, you could blame the banks. Maybe the tenants don’t have the 20% the bank would require for a mortgage. But they can afford the monthly rent for the larger house rather than a smaller apartment. Also the landlord takes on the risk here. (Market value, no Rent payment, property damage, maintenance…)
I don’t understand why a 20% deposit is necessary. If you can make repayments as you can make rent, let them own the house already
You don’t need 20%, you do need at least 3% in most cases. You then pay pmi which is an extra cost.
PMI sucks too. (Again, banks suck.) but it’s still better than paying rent.