Re:How to earn your macroeconomics and finance white belt as...
by tanderson92 on Thursday March 07, 2019 @10:57PM
(#19334950)
> 1) Don't plan on renting your whole life because inflation will catch up with you.
It seems like in your framework (point (2-3) of the first grouping) this is not true as long as your annual rent is less than 3-4% of required capital for comparable shelter (ignoring implicit leverage in a mortgage). You will do better in the long-run in stocks. Risk-adjusted, well that's another matter.
Re:How to earn your macroeconomics and finance white belt as...
by tcoff91 on Friday March 08, 2019 @02:12AM
(#19335740)
There is some risk with home ownership too though, and with climate change that is likely to increase. The ability to just walk from a property as a renter does have value.
It seems like in your framework (point (2-3) of the first grouping) this is not true as long as your annual rent is less than 3-4% of required capital for comparable shelter (ignoring implicit leverage in a mortgage). You will do better in the long-run in stocks. Risk-adjusted, well that's another matter.