over the long term yeah, and I agree. the problem with a purchase is that you have to have the funds and it’s a lot. no, not renting either - that’s what I do now & of course and it’s not the right answer though it’s the only option for many. there are of course other options - rv/van life/car camping, moving elsewhere (ie: internationally/illegally), or even being a traveler (aka vanlife without a vehicle).
personally, I’m working on building my own RV. it’s a lot cheaper than buying property, but I’ll be the first to admit that there’s still a sizeable upfront cost
All of your alternatives require specific lifestyles, personalities, and paradigms. Car camping (of all varieties) presents a bunch of new risks. Moving elsewhere has the potential for incredible startup costs unless you’re able to start over and move with nothing. Traveling makes a lot of skill sets unusable for primary income.
You don’t need any funds to buy a house. First time homebuyers can buy with 0% down and roll the closing costs into the mortgage. The tricky part is having enough income and a high enough credit score, which is easy on a McDonalds salary in some parts of the US and impossible with a 6 figure salary in other parts. I do think that the vast majority of people overcomplicate the house buying process and needlessly lock themselves into renting when they could be building equity for the same cost.
My landlord never once fixed a single thing at my rentals. I bought a condo and now my condo fees cover everything from hot water to heat and the roof, and I’m saving a couple hundred per month over renting.
or… just dont buy real estate? there are other options.
Buying is oftentimes preferable to renting. Right now is probably not one of those times, depending on where you live.
over the long term yeah, and I agree. the problem with a purchase is that you have to have the funds and it’s a lot. no, not renting either - that’s what I do now & of course and it’s not the right answer though it’s the only option for many. there are of course other options - rv/van life/car camping, moving elsewhere (ie: internationally/illegally), or even being a traveler (aka vanlife without a vehicle).
personally, I’m working on building my own RV. it’s a lot cheaper than buying property, but I’ll be the first to admit that there’s still a sizeable upfront cost
All of your alternatives require specific lifestyles, personalities, and paradigms. Car camping (of all varieties) presents a bunch of new risks. Moving elsewhere has the potential for incredible startup costs unless you’re able to start over and move with nothing. Traveling makes a lot of skill sets unusable for primary income.
You don’t need any funds to buy a house. First time homebuyers can buy with 0% down and roll the closing costs into the mortgage. The tricky part is having enough income and a high enough credit score, which is easy on a McDonalds salary in some parts of the US and impossible with a 6 figure salary in other parts. I do think that the vast majority of people overcomplicate the house buying process and needlessly lock themselves into renting when they could be building equity for the same cost.
As long as you’re recognizing that: rent payment =/= mortgage payment
Home ownership comes with its own costs over and above the mortgage payment for upkeep and repairs which are already inside the rent payment.
My landlord never once fixed a single thing at my rentals. I bought a condo and now my condo fees cover everything from hot water to heat and the roof, and I’m saving a couple hundred per month over renting.
Do the math tho.
First months last months rent and matching 1month sec dep on a place that’s 4k a month is 12k
5% down on a 240k house is…12k. Or 10% down on a 120k house.