Re:PG and Jessica
by lotsofpulp on Friday September 25, 2020 @08:10PM
(#24595331)
How is the biggest purchase of someone’s life not consumption? It’s can be both, although, I would argue the investment aspect of a house is minor and irrelevant since you always need somewhere to live.
The mortgage debt has to be serviced, and your kids have to go to the schools in the richest areas (aka best schools). Hence once you have kids, most are innately pushed to stretch themselves so their children have access to the best possible future.
> I wouldn't put a house into the category I understood the parent comment to talk about: it's not consumption, it's an investment
A house is a terrible investment. I don't understand why people are so obsessed with them.
The only reason I can think of is that there's something very human about your house being yours.
In some markets, finding an appropriate rental at a good price is nearly impossible. So instead of renting, people get a mortgage. Which can be a very reasonable decision as long as the mortgage isn’t a crazily high multiple of your yearly income.
Re:PG and Jessica
by mattmanser on Saturday September 26, 2020 @06:38AM
(#24597758)
Here in the UK, any one who said this any time in the last 20 years now looks a complete fool.
Including me. I said this 20 years ago, I said this 15 years ago. But house prices just went up and up and up.
Houses you could buy for 20k are now worth 160-200.
I wouldn't put a house into the category I understood the parent comment to talk about: it's not consumption, it's an investment. Still, you're right that it's something you're committed to and that would make it hard to "just walk away" from a job.
Savers get punished, but so do those that buy insurance, until the day they need it, I suppose.