The Difference between buying and renting your own home

Meet Mark and Shaun. They moved into their houses on the exact same day. They live on the exact same street. They both have two children.

The only difference is that Mark bought his house through the bank and he is paying off a bond. Shaun is renting his house.

Both men have jobs, they work hard and they love their families.

At the end of each month Mark pays all his bills which includes his bond which goes off via debit order on the last day of the month.

Shaun at the end of each month pays all his bills and it also includes his rent payment to his landlord.

Fast forward twenty years

Mark has paid off his bond. He now owns his house fully with no big bond to pay each month.

Shaun on the other hand has been paying his rent every month for over twenty years.

Even though both men were paying the same amount of money Mark is in a far stronger financial position.