Re:The Hot Property That’s Next on Tech’s Agenda: Real Estate
by michaelscott on Friday September 28, 2018 @01:12PM
(#18095039)
Of course in certain conditions it is preferable to rent (haven't laid down roots, still building the beginning of a career etc), but as a purely financial decision for a regular, long term domicile it doesn't make sense to pay a premium to not "deal with home ownership". It's not like running a business.
Re:The Hot Property That’s Next on Tech’s Agenda: Real Estate
by ghaff on Friday September 28, 2018 @02:27PM
(#18095752)
>It's not like running a business.
It sometimes feels that way :-)
I don't really disagree with you although the risk-adjusted finances of rent vs. buy are less clear than a lot of people make them out to be in the absence of 20-20 hindsight. Especially if you reach a point where you're fairly locked into an area for whatever reason, it mostly makes sense to buy if you can. If the work associated with owning a house is a big deterrent, there are lower-effort alternatives like many condos.
Because owning a property involves putting money down, maintaining, being exposed to market value fluctuations, etc. on a very expensive and relatively non-liquid asset.
Sure, buying would mostly have been the right financial decision in the Bay area at least over the past decade for most people. But, especially if I don't want to deal with home ownership, can find an attractive rental property, and want to maintain flexibility, paying a premium to rent can absolutely make sense.