If I asked you what the necessities for the survival of humans are, what would your answer be?
You would probably include food, clothes, home and relationships.
The preferences for three out of these four are different for different people. However, one of these is almost the same for all of us.
Can you guess what that could be?
Yes, it’s the need for a home. Homes are generally all the same.
- There is a living area with the sofas and the TV;
- There is the kitchen where all the meals are cooked;
- There are the bedrooms, either one two or five, depending on the need;
- Then there are the bathrooms, accommodating our nature’s calls and cleaning routines;
- The home could have balconies, gardens, garages, and backyard, depending on where it is located. A London flat might not have a backyard.
Your home and my home would be along these lines, the decorations and the furniture might be different, but the core of the house would be the same.
So, if the essence of every home is the same, then why is it that some of us spend a fortune on homes, while the others make do with an economical budget?
Maybe some of us have more money to spend than others; however, for the ones who do not want to invest their life’s savings in their home, here is an alternative. An alternative that just might be the handiest when the decision to stay in a home has to be taken.
That is leasing.
A lease is a contract between the lessee, being the tenant, and the landlord to convey the latter’s land, property, or home to the former for a pre-defined duration of time, specified in the written lease agreement.
The definition of a lease is simple enough and may not seem too helpful, but the vast number of benefits it boasts has made it extremely popular amongst tenants, not just in the UK, but the world over.
A lease is a written agreement like we have already discussed. Every power that a landlord has is written in that document. Besides, every privilege that a tenant will get is also written in that document.
Therefore, none of them can change their mind to add a clause or delete one after the contract is signed and sealed.
- If you sign a lease for six months, you have every right to live in that home for all of those one hundred and eighty days, and the landlord cannot ask you to vacate his property under any circumstances.
- Such a privilege is unfound when you live on rent, which is a monthly agreement, so a landlord can ask you to leave once your month is up.
There would not be anything in the rent agreement that will save the tenant, but a lease is full-proof. Going against it would cost the party doing it a hefty financial penalty.
I am sure all of you must be aware of the fact is that property prices have been soaring for the last couple of years. The pandemic has brought along a downfall in prices, but the way it has impacted people’s livelihood, the purchases might not happen.
Apart from the prices, getting a loan for your home is no easy chore. The mile-long list of complications will keep your dream of being a homeowner at bay for a long time.
However, if you choose to finance your lease, you would realise that there are far more lenders willing to help you in getting that agreement signed and sealed.
- You might think that why a lease would need financing; it does not have to all the time. Nonetheless, sometimes the security deposit becomes too much of a burden for the tenant.
- In such a case, he can easily opt for profitable loans for bad credit direct lenders, wherein you do not even need an impeccable credit history to get financed.
- And the home will be yours until the lease is up.
No Long Term Commitment
A lease can last from anywhere between 6 months and 5 years on average.
What this means is that you can be free from your obligations towards the agreement in just half a year.
This comes in handy when the tenant’s priorities often change.
- The tenant might want to start a family and would need more space than the one-bedroom flat can provide him.
- The tenant could realize that the lease payment is too much on his monthly budget, and he wants to get a place more economical.
- The tenant could get a career opportunity in a different city. Then he would not have to worry about a place in his present town for long. He can just wait until the lease and over and pack up the flat.
All these are scenarios that are highly plausible and often happen to us in our real lives.
Owning a place may give you an asset, but it will also bind you to that place for life and today’s millennials do not appreciate that kind of commitment, which is inflexible to the point of having no room for change.
Leasing a home is indeed much better than renting as well as buying property. Both of these are more straining on your budget than leasing.
Speaking from personal experience, I took to Target Loans to finance my lease, and it is the third time that I have renewed my contract. I have made the place my home, by tweaking the furnishing and adding equipment that suited me.
So, when are you taking the lease on your new home?