Re:Supply Constraints Do Not Explain House Price, Quantity G...
by bob1029 on Thursday March 20, 2025 @04:25AM
(#43420830)
You're just trading one kind of risk for another. When you own real estate you have a lot more control over your cost of living.
That said, I think it would be fair to distinguish proper ownership from paying a 30 year mortgage. There's really not much difference in economic terms between renting and 3 decades of structured payments once you factor in insurance, fees, etc.
If you own real estate outright and it's homestead in a place like Texas, your total monthly burn rate could easily be <$1000. Why kill yourself with delusions of grandeur in the market? It's significantly easier to control your own consumption habits if you want to wind up with a net gain.
That said, I think it would be fair to distinguish proper ownership from paying a 30 year mortgage. There's really not much difference in economic terms between renting and 3 decades of structured payments once you factor in insurance, fees, etc.
If you own real estate outright and it's homestead in a place like Texas, your total monthly burn rate could easily be <$1000. Why kill yourself with delusions of grandeur in the market? It's significantly easier to control your own consumption habits if you want to wind up with a net gain.