>Those rates also allow me to make thousands per month, risk-free, in interest off my savings.

If you are in a state with income tax, I would take a minute, even immeasurable, increase in risk by putting it in US Treasuries (like TTTXX at Merrill), resulting in no state income taxes for 95%+ of your return. In case you already are not doing that.

I'm in a mix of paper(6 month US T-Bills), and various UST ETFs with durations anywhere from 0-3 months out to 2Y. US T-Bills(aka shorter duration Treasury bonds) are the place to be right now. We're currently seeing a "bear steepener" where the long end(10Y+) sells off(aka rates go up) so investing further out the curve exposes you to significant duration risk. It's anyone's guess if rates go up or down from here, but with the USG running huge deficits(in a booming economy no less) requiring large treasury issuance in parallel with quantitative tightening and rate hikes by the fed, it's not likely that rates will come down anytime soon.

You just buy TTTXX and it gives the same state tax advantage as buying the treasuries directly?

Yes, same with VUSXX (vanguard), FSIXX (fidelity), and UTIXX. There might be a negligible amount subject to state income tax, but I am not exactly sure why.

Buying gives you stability, you don’t have to worry about double digit rent increases; it also gives you agency to make the home more suited to your needs.

I wouldn’t trust what the government is doing to have any bearing on rates. Lower interest rates actually make it cheaper for the government to borrow as it does for everyone else. Those treasury bonds get expensive when their yields pop above inflation.

I don't have to worry about double digit rent increases. Between rent control and a softening rental market most folks shouldn't be too worried about that right now. If you think burning thousands per month makes you more stable then by all means do it. I think you should check your math and go with the path that increases your net worth but that's just me.

> Lower interest rates actually make it cheaper for the government to borrow as it does for everyone else.

Right, and that's the government's incentive to pursue financial repression as I mentioned. But that also weakens the dollar and allows inflation to rip again so the government is somewhat boxed-in and has some hard choices to make. My guess is that no repression occurs, rates stay positive as they are now, the government continues to run huge deficits until after the election, and then they pay for it with huge tax increases in 2 years. Right now it feels like the boomers are squeezing the wealth out of the country for their final years and will leave us with quite the bill that only AI-driven productivity gains can resolve.