Although home comfort equipment, like your home water heater, furnace or air conditioner, can be expensive to purchase, it’s more financially responsible to buy than rent. It’s an investment.
Because each rental payment appears small, it can feel like you’re spending less. But it’s all misdirection. If you’ve considered renting your home comfort equipment, or are renting right now, it’s worth reevaluating your rental agreement.
At ABW Halton ClimateCare, we are often asked whether it’s better for a homeowner to rent or buy equipment. We believe that in most situations, buying is better for two main reasons:
- Buying makes your equipment assets.
- Buying gives you greater control over your home and finances.
To us, the benefits of owning are far greater. Here’s some food for thought.
Terms and conditions of the contract
If you decide to rent your equipment, be sure to read the contract thoroughly before making a commitment. Rental contracts in this industry often contain terms and conditions that can be onerous to most homeowners. They are designed to make it difficult for you to change your mind down the road.
Also, do not hesitate to ask pointed questions to the sales person who is trying to rent you a product. It is your money, and you have alternatives. You have the power, and it is well within your rights to be fully informed in every way you want before signing on the dotted line.
You may be paying more than you should
Not all sales agents are looking out for your well-being.
A deal could look good on the surface, but the number of payments you must make and the inherent interest rates can lead to a hefty price to pay over the long term.
Take time to do the math. Some homeowners end up paying more than 40% more monthly by the end of the contract.
Here is an example of someone who was mislead into renting a furnace. While this homeowner was able to back out of the shady deal, the lesson to be learned is the importance in being cautious and assertive when something doesn’t seem right.
You may decide not to keep the piece of home comfort equipment
You can always return the piece of home comfort equipment you are renting, but:
- It may be discouragingly hard and procedural to get out of your agreement.
- You will not get your money back.
- You may have to pay a hefty penalty.
Home comfort equipment is a necessity among homeowners. Even if you’re dissatisfied with your rental product, you will eventually have to invest again to have a new product installed.
While it may seem appealing on the surface to rent your home comfort equipment, you should think twice. Home comfort plays a big part in making your house a home. When you take the right steps to invest wisely, you and your family can be happy in your home all year round!
We can walk you through the process of buying or financing your new equipment, and give you the freedom and time to ask all the questions you want. All you have to do is pick up the phone and give us a call.