Mortgage Basics: Buying or Renting – What’s Right for You? [MUSIC PLAYING] (SPEECH) Buying or renting-- what's right for you? Home ownership is a big responsibility. (DESCRIPTION) A house appears. (SPEECH) And whether you're starting your career, settling down with a family, or preparing for retirement, it's important to carefully consider your financial position before deciding whether to rent or buy. (DESCRIPTION) Photos are moved around the screen. A budget sheet is shown. (SPEECH) Renting can be good for a short-term commitment, even though the monthly rent payment can often be about the same as owning that same property. (DESCRIPTION) A moving truck sits next to a home. A calendar flips through the pages. (SPEECH) It may allow for less responsibility, since landlords often cover repairs and may provide appliances, utilities, and even furniture. (DESCRIPTION) A moving truck drives away from a home. A hammer, refrigerator, light bulb, and chair display above the home. (SPEECH) Typically, signing a lease means less scrutiny of your credit history, and there's ultimately less investment risk should the housing market change. (DESCRIPTION) A sheet of paper is flipped into a news report. (SPEECH) However, renting often means you have less freedom to make changes within your home, and you can't profit from the move, since you don't have ownership of the property. (DESCRIPTION) A paint brush and hammer display above a home. A moving truck drives away from the home. (SPEECH) Buying often requires a more in-depth upfront financial check and larger initial investment than renting. (DESCRIPTION) A magnifying glass comes out of a folder. A hand reaches into the folder and pulls out a check. (SPEECH) However, with a fixed rate mortgage, your monthly mortgage principal and interest payments never change. (DESCRIPTION) Checks slide across the screen into a piece of paper. A padlock appears and is clicked shut. (SPEECH) Ownership may offer you freedom to make improvements. Additionally, you may be able to gain equity in your home over time, which could be used in the future in the form of a home equity loan or home equity line of credit. (DESCRIPTION) A house appears. Two sheets of paper slide into the home. (SPEECH) And if your home increases in value, you may be able to make a profit when you decide it's time to sell. Knowing this information, along with understanding your finances and goals, allows you to better consider your options. (DESCRIPTION) The home expands and grows. A family and a “FOR SALE” sign appear. (SPEECH) If homeownership seems right for you, working with a trusted mortgage loan officer for you to determine how much house you may be able to afford is a good first step. (DESCRIPTION) A loan officer talks with a woman and shakes her hand. A red and blue logo, U.S. Bank.