> ownership of a house in some areas becomes so expensive as to be the exclusive domain of the wealthy
I agree. In fact, I live in an expensive area, but planning on moving in few years when I will be retired. Then I will buy a mansion for little money. And still gonna have plenty of savings and investments to pass onto my kids.
I don't understand the ownership at all cost. You need to run some numbers and understand if buy is financially more convenient than renting. If not, it is ok to rent.
But some people are just obsessed with ownership. Even if is not financially sound.
I don’t think people are obsessed with ownership for the sake of ownership. There are a large number of benefits to owning which the individual might find valuable enough to pay for:
- more space
- individual outdoor space
- control over your own area. Can paint or remodel however you like.
- Dealing with terrible neighbors isn’t nearly as bad.
- location might be quieter and more desirable
If we compare renting a house to buying a house, the cost just doesn’t make sense for rent. It’s much higher than renting an apartment in cities
That's hardly the case. Buy a big place, usually costs more than renting one. Or at least that's my experience. If I had to buy the place I rent it will cost me easily $3M to 4M. My rent will only pay for a 2b/1ba.
I am talking about major city. Perhaps is different in suburbs, don't know.
>Dealing with terrible neighbors isn’t nearly as bad.
It is way easier to just rent a different place than having to sell your house because of that noise neighbor that likes to throw party every week end.
I rent, but am looking to buy. Rent is about 2200 / mo for me; and buying would be 2700/mo for me... but in 4 years, rent will probably be 2700/mo for me and then buying will begin to make me money.
I agree. In fact, I live in an expensive area, but planning on moving in few years when I will be retired. Then I will buy a mansion for little money. And still gonna have plenty of savings and investments to pass onto my kids.
I don't understand the ownership at all cost. You need to run some numbers and understand if buy is financially more convenient than renting. If not, it is ok to rent. But some people are just obsessed with ownership. Even if is not financially sound.