Home equity loans, a primer
As a tenant, you will probably want to pay for insurance for your belongings, but it will be significantly less than if you owned the home and needed to insure the entire property and your belongings. Renters do not pay property tax and usually do not cover maintenance costs. If you compare those expenses, you will pay more as a homeowner. But, as a homeowner, you would own the home and build equity. Over time, what you would pay in rent would hypothetically be put toward your investment in the home via your home mortgage payments.