There are arguments for and against homeownership.  For full disclosure, I am a homeowner.  I enjoy the benefits, and I also experience the hassles.

Homeownership is pushed in our society, particularly in the U.S.  It is pushed by public opinion, and it is also pushed through government in the form of many incentives and subsidies, particularly when it comes to handing out mortgages.  The push for homeownership has perhaps slowed a bit since the housing bust a decade ago, but it is still often touted as the smart thing to do.

Here are 10 reasons not to buy a house (or condo or townhouse).

1. If you ever want to move or need to move, you will be thankful for not owning a house.  A house ties you down to one spot.  If you are offered another job, even if it is just on the other side of the city, it becomes a bigger roadblock if you own your house.
2. Buying a house ties up liquid money.  Even with the subsidized mortgage market, most people have to put down at least 3%, plus closing costs, plus the costs of moving, plus furnishings, plus fixes, etc.  This can cause unnecessary stress if you don’t have backup reserves, especially for emergencies.
3. If the toilet is broken, you are responsible for fixing it.  If you are renting, you can just call and wait for the maintenance guy.
4. Home ownership not only takes your liquid money, but you should have money in reserve just to deal with the house for any unexpected repairs.  Actually, they shouldn’t be called “unexpected” because you are guaranteed to have repairs.  If you need a new air conditioning unit, expect to pay many thousands of dollars.  If you decide to buy a house, be sure to factor in all of the things that can go wrong.
5. You also have things that will require somewhat regular maintenance such as your air conditioner and your garage door.
6. If you aren’t in a condo or townhouse, then you are probably responsible for maintaining your lawn.  While some people like doing yard work, it is mostly a hassle.  It can also be an added expense.
7. While this one does not have to be true, there is a tendency for it to be true.  When you own a house, you have a tendency to accumulate more stuff (i.e. junk).  It’s not to say that there aren’t many renters living with a lot of clutter, but there is something about owning a home that encourages the accumulation of even more stuff.
8. If your monthly payments become a burden and you want to lower your expenses, it is difficult when owning a house, especially if you don’t want to sell it.  If you rent, it is easier to move.  You can just wait until the end of the lease and then find a cheaper place to live, even if it means finding something smaller.
9. When you own a house, moving is very expensive.  Unless you are building a real estate empire and renting out your house when you move, then the process of moving is really expensive.  You really should never buy a place if you think you will not be living there for at least 7 years (at a minimum).  If you sell a house for just $100,000, you are looking at close to $10,000 in closing costs if you pay the standard 6% in real estate agent fees.  This does not include the actual cost of moving, nor does it include the holding costs if you move out before you sell.
10. Homeownership is not an investment.  Some people get lucky in a booming market, and some are smart enough to sell near the top. But overall, buying a house is not an investment if you are planning to live there.  It is a consumer good.  It just so happens it is an important consumer good in that it provides shelter for you. But most people are not just buying a roof over their head.  Buying a house can be a good forced savings plan if you live there for a long time and don’t extend your loan.  But if your only goal is to make money, you are better off renting a really cheap place and investing the difference.

Again, there are many reasons to favor homeownership, but you should go into it with your eyes wide open.  You must consider your own situation and whether owning is right for you.