Renting vs. Owning a Home, by State

Re:Renting vs. Owning a Home, by State by enos_feedler on Saturday September 02, 2023 @03:54PM (#37364934)

you can collect dividends on it and allocate some of that cash flow to renting while the stocks grow in value. I currently have an 8% yield on cost that I am living off of and renting $1800/mo in Palo Alto. Been there for over 5 years and they aren't raising rent on me. The game with renting is not pay current market rates.

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Re:Renting vs. Owning a Home, by State by pdonis on Saturday September 02, 2023 @04:36PM (#37365298)

> you can collect dividends on it and allocate some of that cash flow to renting while the stocks grow in value.

But then you're not buying any property and renting it out, which was what the GGP was talking about.

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Re:Renting vs. Owning a Home, by State by enos_feedler on Saturday September 02, 2023 @06:13PM (#37365973)

I was refuting the idea that you can't live in your stock portfolio. You can if the dividend yield is less than the rent.

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Re:Renting vs. Owning a Home, by State by pdonis on Saturday September 02, 2023 @06:42PM (#37366128)

> I was refuting the idea that you can't live in your stock portfolio.

That post was not made in a vacuum. It was made in response to a particular claim, which was not as simple as "oh, sure, you can own stocks and pay your rent out of the dividends".

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Re:Renting vs. Owning a Home, by State by almost_usual on Saturday September 02, 2023 @04:13PM (#37365113)

> I currently have an 8% yield on cost that I am living off of and renting $1800/mo in Palo Alto.

That seems really cheap for Palo Alto.

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Re:Renting vs. Owning a Home, by State by jjav on Monday September 04, 2023 @02:06AM (#37377603)

> The game with renting is not pay current market rates.

If you can somehow do that, sure! If you can get a service below market rates, take advantage.

But surely it's obvious that by definition, very few people are going to be able to luck into such a position. So it's not broadly applicable advise.

> renting $1800/mo in Palo Alto [...] and they aren't raising rent on me

That's the deal of the century in terms of housing. Yes you're way better off renting on those terms. Since nobody else can find a rent so low in Palo Alto, let alone one that won't go up, for most people reality is different.

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Re:Renting vs. Owning a Home, by State by enos_feedler on Monday September 04, 2023 @02:25AM (#37377703)

I don't think its all that special. its a matter of staying in one spot. Don't rent for a big corporation. have a good relationship with the owner, etc. Its partly luck, but its also partly putting yourself in a position to get that. If you move around every 12 months then yes you will pay market rates. But you also take advantage of the location flexibility that renting provides. its a tradeoff.

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