Rent or mortgage? Smart choice for students

For many parents who have student children coming to study in Chisinau, the crucial question is: "Should we opt for rent or a mortgage?" The right choice can significantly influence the financial future of the family and the immediate student. Although both options have their advantages, mortgage lending can prove to be a wiser and more advantageous choice in the long run in several aspects, which we will present below.

1. Long term investment vs. recurring expenses

Rent is a recurring and constant expense that does not contribute to building personal wealth. Instead, a mortgage frommaibit is a long-term investment. With each payment, you'll build equity in the property instead of paying money that won't do you any good in the future. After the mortgage is paid off, the property becomes a valuable asset that can be used for other financial purposes or sold for a significant profit.

2. Stability and safety

The own building offers stability and security, both for the student and for the whole family. The main advantage is the lack of worries about the tenant's decision to break the lease. Such guarantees can only be provided by the building itself.

Also, there is no risk of possible rent increases, which can occur annually. In a home of their own, the student can enjoy a stable and personalized environment, which can contribute to a more enjoyable and productive university experience.

3. Tax benefits and savings

In many countries, including the Republic of Moldova, the purchase of a property comes with certain tax benefits. Interest paid on the mortgage can be tax deductible, which can reduce the taxes owed. Also, owning your own property will save you money over time, especially if you compare your monthly mortgage costs with those of renting.

Moreover, the financing programs and the individual approach offered by the bank ensure flexible and comfortable conditions for each individual family.

 4. Flexibility and customization

Owning your own property gives you the freedom to customize and modify the space as you wish. The student and family can make improvements, redecorations and alterations without being constrained by the rules and restrictions imposed by a property owner. This aspect can contribute to the creation of a comfortable learning environment adapted to individual needs.

5. Time value

It is proven that over time, the value of the property increases. Accordingly, if you decide to sell the property in the future - you will get a considerable profit. In comparison, rent payments don't generate any long-term financial benefits because that money doesn't turn into equity or assets.

6. Favorable credit conditions

Currently, many financial institutions offer favorable conditions for mortgage lending, including low interest rates and flexible terms. This fact makes the purchase of a property more affordable for each individual client.  All these conditions can be discussed during a free consultation with the managers of the mortgage center.

Request your free consultation here:CONSULTATION.

In conclusion

For parents who want to ensure a more stable and prosperous future for their student children in Chisinau, the option of investing in a property through mortgage lending often turns out to be more advantageous than paying rent.

Although the purchasing process may seem complicated at first, the long-term benefits – including wealth building, stability and financial savings – make mortgages a smart choice for students' futures.

The most beautiful place is at home. Discover real estate offers here:OFFERS CATALOG.