urbandreamer
recession proof
Is there something wrong with renters? I'm a renter and love it: freedom!
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Renting vs. Buying
- Thread starter urbandreamer
- Start date
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Hydrogen
Guest
Freedom is living in your parents basement. Renting means paying money to a landlord. Nothing "free" about it.
urbandreamer
recession proof
But when you buy, assuming you get a mortgage, you're essentially buying your apartment thrice over...assuming you live in it for the rest of your life. What if you rented a new apartment every year, getting a taste of different neighbourhoods, cities, towns, countries... like me? I prefer the freedom of renting. (Well maybe I'll buy a trailer someday.
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Hydrogen
Guest
If you borrow money from a loan shark, you will pay "thrice over" for your purchase. If you can manage your money you would never do that.
If you die, you apparently don't have to worry about paying either rent or a mortgage.
If you want to rent, you pay rent up until the aforementioned period in which you need not worry about paying it. If you can manage your money, you will have finished paying your mortgage off long before that. As well, you can always move if you own. Buying doesn't mean permanent residence at one location.
If you die, you apparently don't have to worry about paying either rent or a mortgage.
If you want to rent, you pay rent up until the aforementioned period in which you need not worry about paying it. If you can manage your money, you will have finished paying your mortgage off long before that. As well, you can always move if you own. Buying doesn't mean permanent residence at one location.
urbandreamer
recession proof
When I finally do buy, I plan on paying cash.... Never will I get a mortgage; I simply don't believe in the concept of debt.
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Hydrogen
Guest
I could not agree more! Too many people are carrying way to much debt after they make their purchase. They should try to save more beforehand.
EnviroTO
Senior Member
It is a fine idea and would work perfectly in a society where people held similar values. The problem is that the supply and demand curve is fuelled by people who have no issue with credit and debt which push the price of items up in advance of peoples ability to pay for them. The person which should be able to afford a home with cash is no longer able to do so because people with credit and debt have pushed the price out of their reach. The person which wants to pay with cash ends up disadvantaged because they buy much later whereas someone on credit could have bought and sold already realizing a gain greater than their interest rate.
MikeMang
Active Member
In any debt? Will you invest in companies that have debt? People talk about debt like its some monster living in the mountains waiting for an opportunity to destory lives. All the attention on this subprime nonsense thats been all over the media the past year doesn't help. Debt can be great if it doesn't fall into the hands of morons. Its all about matching CFs in/CFs out. It makes the joy of home ownership possible to everyone, not just the wealthy.
grey
Senior Member
It's not just for non-wealthy people. It's the reason why wealthy people are wealthy -- they know how to leverage themselves with debt. People have been doing it for hundreds of years. Never spend your own money to invest.
Mr.Tang
Active Member
Hmm - leverage works both ways - better said never spend you own money to invest and always make money...