Re:Austin's Surge of New Housing Construction Drove Down Rents
by Ekaros on Thursday March 19, 2026 @05:35AM
(#47436855)
I fundamentally agree on statement that rents are more expensive than mortgages. As capital is involved and landlords want premium on capital.
Still, things can go either way. And well renting is lot more flexible and less risky. So there is really nothing wrong with that option existing. And many times it is the better pick of the two.
Re:Austin's Surge of New Housing Construction Drove Down Rents
by triceratops on Thursday March 19, 2026 @09:42AM
(#47439296)
> And well renting is lot more flexible and less risky
Sure if you don't count the cost of risk for the tenant (of needing to move due to job loss, unexpected maintenance bills) then renting is more expensive.
that doesn't sound plausible. May be for a select few properties that are in some unique circumstance (e.g., the seller of the property would sell underpriced because they needed quick sale).
And often, in arguments like these, the rent is the rent, but the mortgage is purely the interest on the loan, and doesn't count the maintenance cost, and doesn't count the deposit required (which has a cost, ala the cost of capital). If you added up all these costs, it exceeds rent.