Renting is an alternative to owning a home. In short, renters pay the owner of the apartment, condo or home a monthly fee to occupy the space. Renting can be a cost-effective option for those who are not yet ready to own a home or are saving up for a down payment. People who plan to move within a few years are also good candidates for renting because it provides a short-term living solution.
That said, renting can be expensive in big cities that have a high cost of living, and unlike monthly mortgage payments, rent does not lead to something bigger like an investment. Renting puts a roof over your head for each month that you pay. Another advantage to renting is that you are not responsible for home repairs, which the owner must take care of and which can be very costly. Deciding whether to rent or buy is a personal decision, so explore your options on GOBankingRates.