Having a home has many advantages, but it may not be the right choice for everyone. If you’re hesitant between renting or buying a home, consider the following five factors.

1. The down payment

In September 2016, the median price of a new home in the United States was $377,700, according to the  U.S. Census Bureau*. Conventional mortgage loans almost always require a 20% down payment, which can be approximately $75,540 for an average-priced home.

“Even if you can find a small home in a not-so-expensive area, the down payment will still be an important consideration,” says Timothy G. Wiedman, a retired professor of personal finance. “For example, it may be possible to buy a home without putting up 20% – by qualifying for a Federal Housing Administration mortgage loan. But keep in mind that it can lead to additional expenses, such as private mortgage insurance.”

2. Maintenance costs (and efforts)

When you rent, the landlord is probably responsible for maintenance and associated costs. But if you own a home and your heater goes out or your refrigerator is failing, you’re responsible for fixing it or hiring someone to do it. Consider whether you’re ready for this: Are you ready to maintain your home or would you rather have someone else take care of those tasks?

3. Ownership of the building

Perhaps one of the biggest drawbacks of renting is that, even though your rent payment helps keep a roof over your head, it doesn’t actually buy anything. Homebuyers, on the other hand, can build equity (a greater amount of property) each time they make a mortgage payment. And once the mortgage is paid in full, the homeowner has the option to sell and make a profit on their investment, according to Forbes*.

4. Stability versus flexibility

If your work life is relatively stable and you plan to stay in the area in the near future, you may want the stability that comes with putting down roots and buying a home, according to Forbes*. On the other hand, renting may be the best option if you want to have the flexibility to move to your dream job across the country next year, for example, says Forbes.

In addition, costs related to buying a home can often be as high as 10% of the asking price, reports Zillow*, which may not be worth it if your plan is to move in a few years.

5. Personal fulfillment

Having a home can transcend far beyond your finances. Buying a home allows you to personalize your living space, whether it involves a lush garden design, doing a renovation in the kitchen, or painting a wall turquoise blue, something that, as a renter, could cause you problems. Buyers may also have a greater sense of belonging to the neighborhood and community, compared to renters, who are likely to stay for a shorter time, according to Money Crashers*.

Our rent vs own calculator* can be helpful in doing the necessary calculations to help you decide if renting or buying is right for you.