Beyond housing: How renting can help you save money

Category: Personal Finances

Although buying a home can be a sound investment, it can also be too expensive for someone on a tight budget. There is a lot to consider, including the down payment, closing costs, insurance, property taxes, and so on. This is why so many people just prefer to rent, even if they do have the means to buy a home.

But there are other things you can rent, rather than purchase, if you’re looking to save money and want a more cost-effective option. The following items can be expensive to purchase, but might save you a bundle if you rent them instead:

Bicycles

A good quality bicycle can easily cost hundreds of dollars, and then there is more than the initial cost to consider. Just like a car, a bicycle needs its own level of regular maintenance. Repairs and replacements can make bicycle ownership an on-going expense that might not just be worth it. It’s one thing if you know, that without a doubt, you’ll be using your bike all the time, or if you plan on using it for daily commuting. But if you also know there’s that possibility of your new bicycle eventually collecting dust, look into your other (and much cheaper) options. Many cities throughout the country are now offering bike-sharing programs, which allow residents and visitors alike to rent and return bicycles at various locations throughout the neighborhood. Most programs will usually offer several pricing plans, including the option to sign up for a low-cost membership, or even just pay a low, one-time fee, if you’re not quite ready to commit to a membership.

Textbooks

College textbooks can be very expensive, and they can easily tack on a few hundred dollars more to your expenses each semester. Because it’s unlikely that you will want to look at those books again after the semester ends, look into your other options. Unless your college offers an excellent buy-back policy, ask if textbook rentals are available. Most colleges will allow students to rent textbooks for the semester and at a fraction of the cost. If you prefer eBooks, you can also rent your textbooks online, which are usually even cheaper than the print editions. Renting textbooks online will allow you to access your selected textbook in a web-based format, and for a designated amount of time. Usually you will have access to your rented textbooks for a few months, ensuring that you’ll have them for the entire semester. As long as your school has a strong WiFi connection so that you can access your books in the classroom, this is often the most cost-effective option.

Camping gear

If you’re planning your first camping trip, you’ll need to get all the necessary gear, such as a tent and sleeping bags. But purchasing camping gear can be expensive and easily add hundreds of dollars to your trip. Even if you do think you’ll go camping again, you’re likely just better off renting the necessities if you’re tight on money. It can take several camping trips before you break even on those costly camping gear purchases. If you do think you may want to eventually buy your own gear, renting it first can be a great way to test out different products.

Home renovation necessities

From tools to large pieces of equipment, avoid purchasing the necessities for a home renovation project if they are available for rent instead. A lot of the equipment that is needed for specific home improvement projects can be very expensive, and it’s unlikely that you’ll need to use it again. Before buying equipment for your next project, ask about renting it instead.

If you’re receiving annuity payments, but need money now, contact Peachtree today. We can purchase some or all of your future payments and provide you with a lump sum of cash.

Nothing above is meant to provide financial, legal, or tax advice. You should meet with appropriate professionals for such services.

Tags: college, home renovations, housing, renting, travel

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