Re:Ever-increasing home values are a Ponzi scheme
by quantified on Monday June 21, 2021 @11:21PM
(#27587592)
Building equity isn’t “losing” money. It is tying it up, sure. If you have enough free cash so that investing beyond rent gives you a decent rate of return, great. In high-rent parts of the country, rent sucks enough you don’t have that. And, your landlord can kick you out in the middle of a school year if your lease is up.
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Re:Ever-increasing home values are a Ponzi scheme
by sokoloff on Monday June 21, 2021 @11:56PM
(#27587826)
Tying money up in a vehicle that grows more slowly than its likely substitute investment is “losing money” in one’s total financial picture. If it grew more slowly than inflation, it could remain affordable to others but terrible for the present owners.
I’m pro owner-occupied housing. I think it’s good for families and good for the community/society. But in the hypothetical where it grows more slowly than inflation, renting starts to look a lot better than it does currently.