3 Signs You Should Sell Your Home and Start Renting Instead

Homeownership certainly isn't for everyone, and it may not be right for you.

Owning a home may have been a dream of yours at one point. And you may have pushed yourself really hard to come up with a down payment on a place of your own.

But just because you've owned a home for quite some time doesn't mean you're stuck with it. You may reach a point where renting becomes a better option. If these signs apply to you, it may be time to look at putting your home up for sale -- and becoming a renter instead.

1. You're struggling to keep up with your costs

You were no doubt aware when you bought your home that you'd be on the hook for more than just a monthly mortgage payment. But sometimes, the costs associated with owning a home can rise over time -- and at a faster pace than expected. That could put you in a position where your home becomes very difficult to keep up with.

Maybe your property taxes have risen exponentially since you made your home purchase. Or maybe you keep getting stuck with expensive repairs that are forcing you to drain your savings account.

Either way, if you're struggling to keep up with your homeownership costs, then it may be time to look at renting instead. When you rent a place to live, your costs are more predictable, since you're basically just writing the same check to your landlord every month. You don't have to worry about things like property tax hikes or unplanned repairs, because those are your landlord's financial responsibilities.

2. You don't have the time to commit to maintenance

It takes more than just money to keep up with homeownership; it also takes time. You have to mow the lawn, stain the deck, and clean out the gutters regularly. And even if you're able to outsource these tasks, you still need to deal with setting up the right service and paying invoices after the fact. If that's work you just don't have the time or capacity to deal with, then renting could be a better choice.

3. You're spending so much on your home that you're not meeting your other savings goals

It's not unusual for housing to be someone's greatest monthly expense. This holds true whether you rent or own. But if you're spending such a large chunk of your paycheck on housing that there's little to no room left over to put aside for other goals, like retirement, then it may be time to look at renting.

As of 2021, 65.5% of Americans owned their homes, according to the National Association of Realtors. But just because the bulk of Americans own homes doesn't mean you have to.

If owning a home is causing you financial stress and it's just not working out, then there's nothing wrong with selling your property and renting for a while instead. You can always go back to homeownership when your financial situation improves, or when you have more time in your schedule to deal with maintaining a property.