Buy vs Renting: Home Loan Can Help You to Save Money


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Buy vs Rent is not an easy decision. When it comes to having a roof over your head, you need to decide whether you want to rent a property or purchase your own. Of course, both options have their advantages and disadvantage but here we want to discuss how a home loan can help you to save money in the long term. The following section highlights how best home loan in Pakistan can help you to save your money.

There is no doubt that owning your own home through a home loan will be a great help especially when you do not have a large sum of money in hand. This is because the home loan will enable you to purchase your home very quickly and really make the most of owning your own property while saving you money.


Owning Your Home through Home Loan in Pakistan
It has always been recommended that you own your home through a way in which you can benefit from doing so. When it comes to saving money after you have paid off your home finance; your home will belong to you which means you will no longer have to make monthly payments. To add to this, if your property increases in value, the equity in the property will be yours and this can be used to help create a retirement fund, an asset for your children or even for moving property.

As a start, you can always look for the best home loan deals by comparing all home financing options online through a platform like Mawazna can help you to find the best home loan in Pakistan through its comprehensive comparison facility. Many home loan providers are competing for your business and so, there are many deals that can be found when you compare home finance Pakistan. Few of the home loan products include but not limited to the following:


  • HBL Home Loan

  • Bank Alfalah Home Loan

  • Bank Al Habib Home Loan

  • MCB Home Loan

  • JS Bank Home Loan

  • Silk Bank Home Loan

  • Several others …


It is also possible to add more value to your property when you own it because you can carry out any improvements you want. You could extend the property, decorate rooms, and alter the shape and size of rooms so that the value of the property increases. Additionally, you will realize the satisfaction of being a home owner in a city of your choice in Pakistan.


Renting a Property
While renting a property is a simple way of living in a property without having to worry about the additional costs, there are many downsides that come with it that could prevent you from saving money.

The first is the fact that you will have to pay your landlord a fixed rate every month for a period of time. Once the period ends, there is every possibility that your rent could increase and so, if you plan to rent indefinitely you will continue to pay someone else which means you will not have the ability to save money. This is because once you have finished paying a home loan, the money that you were paying and the property are yours. Renting a property gives you neither of these things.


The End is Always in Sight When You Own Your Home
The great thing about owning a home is that you can always plan for the future. You will know that your home loan is in place for a specific period of time and this means you can plan ahead. Like once the loan is finished, you can utilize the monthly installment to budget any other avenues. However, if you are in the middle of your loan term and looking for a better deal than the one you already have. You can also compare home loan rates in Pakistan at and look to save money each month by moving to other providers in case if there is a provision in your agreement of switching to other lenders midway. All of this gives you an element of control that you do not get with renting.


Additional Reading: Home Loans – How to Get on Property Ladder?


You could look at it as paying a mortgage is very similar to saving for your pension. At the end of the repayment term, you would have invested in a property that is legally yours and so, it will have a value and what it is worth will belong to you if you choose to sell it.

Owning a Home is an Investment
As a tenant, you cannot benefit financially from renting. Therefore, owning a home will bring with it a number of benefits that have been mentioned. However, if you look at owning a home as an investment you will instantly realize that you are saving money. Regardless of what you pay each month as a homeowner, you can be sure that in the long-term you are saving money. If house prices increase, then you can sell your property and pocket the money that you make. This could be a considerable amount and could set you up for your future.

There is so much uncertainty that comes with renting a home such as being evicted for no reason, increasing rental prices and living in a property that you are paying for that you know will never become yours.

Therefore, owning a home is far more beneficial than renting and it will help you to save money. is a growing financial services comparison platform in Pakistan that enables consumers to make more informed decisions when choosing the financial products and services including home loans comparison, selection and applying to products offered by the leading banks in Pakistan. Visit us online to compare banking (all loan products and car financing), insurance (car insurance, travel insurance, and health insurance) and broadband products to make more informed decisions.


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