Which of the following benefits and costs are associated with home ownership or renting?
a. A homeowner must pay property tax, the bill for an unexpected roof leak, but not utilities.
b. After paying rent for five years, a renter will receive a return for renting their home.
c. Renters sometimes pay for their utilities but never pay mortgage interest to live in the home they are renting.
d. Renters typically only pay maintenance costs when they are unexpected.
a. Benefit: Homeowners have the advantage of not having to pay for utilities as they are responsible for these expenses themselves.
Cost: Homeowners must pay property tax and also cover any unexpected maintenance or repair costs such as a roof leak.
b. Benefit: Renters do not have to worry about home appreciation or depreciation, as they are not financially invested in the property.
Cost: After paying rent for a certain period of time, renters do not receive any return or financial benefit from the money spent on rent.
c. Benefit: Renters do not have to pay mortgage interest, as they do not own the property they are renting.
Cost: Renters may still have to cover the costs of utilities, depending on the terms of their lease agreement.
d. Benefit: Renters typically only need to pay for maintenance costs when they are unexpected or not covered by the landlord.
Cost: Renters are not responsible for regular maintenance costs, as it is typically the landlord's responsibility to maintain the rented property.