Re:How I Think About Debt
by upsertingdefl on Tuesday May 07, 2024 @07:28AM
(#40284313)
>goes into an appreciating asset that you own
Like any asset, it _could_ appreciate, but is not guaranteed. Where I live you can buy a house for 15-40K where normal prices in the country are 100-200K. It didn't use to be that way, last decade was all downhill for the city.
Re:How I Think About Debt
by whywhywhywhy on Tuesday May 07, 2024 @08:24AM
(#40284641)
If the housing market crashed in any meaningfully impactful wait there would be way bigger issues to worry about and you’d still only be in the same situation as a renter, maybe even still more well off.
Money on rent goes to pay for someone else’s appreciating asset you don’t own.
Insurance isn’t that much and you have to pay taxes multiple times on all your money anyway but at least property has a chance to fight back a bit or hopefully outpace inflation.
The money you earn today and sits in your bank is going to be worth very little in terms of spending power by the time you want to move somewhere cheap if you’re not keeping it in investments or property.
We’re entering a dark time financially and there will be a significant quality of life difference in 20 years of those who have money in the right places today.