Renting and reinvesting the savings from renting, will outperform owning and building equity

[1thouwow]

I wasn’t giving advice. I put my strategy out there and asked for feedback.

The strategy worked for me. By not buying a house in DC, j was able to save the difference between rent and a comparable mortgage into a sizable down payment. Im back in the A now where property is more affordable and with the money I saved for a down payment, I have a lot of choices and my mortgage payments are going to be very affordable once I buy a place.

All that money u saved, compare the prices of the houses, including inflation compared to 2019 when u made this thread. You lost either way

 

[Robbie3000]

Truth.

Finances are just a flex for a lot of people these days and they don't know what the fukk they're talking about.

OP didn't age well after the pandemic. Goes to show there are way too many variables and a lot of the fluctuations are artificial. Gotta stay up on your local market if you wanna get somewhere, or research somewhere else if you wanna move there or invest.

How nikka, my last album was the chronic.

My returns over the last two years in the 40%-50% range and I didn’t tie myself down to a certain area with a mortgage which allowed me to accept a new job with a nice raise in the A.

 

[desjardins]

Supply and demand drives rent, not landlord expenditure.

Read the next sentence in my OP, if a property doesn't hit a certain profit threshold a investor won't buy the property to begin with. Obviously if you can get more money you charge more once you have the property but this thread is in the context of renting being better vs owning cause of home owner expenses. Trust no landlord is out there operating at a lost, those costs are built into the rent price (obviously)

 

[Robbie3000]

All that money u saved, compare the prices of the houses, including inflation compared to 2019 when u made this thread. You lost either way

Nope. My strategy worked fakkit. See above post.

 

[Ain't That Something]

In addition, to buy a house, you gotta put 20% down, and pay closing costs that can go up to 6% of sale price. That's money that if put in the stock market can put you ahead over time.

The idea that the stock market is this magic money making tool ignores that 6 percent of professional traders are successful and only 20% of professional investors are successful

 

[1thouwow]

Nope. My strategy worked fakkit. See above post.

if you like it, I love it.

 

[Raw Lyrics]

How nikka, my last album was the chronic.

My returns over the last two years in the 40%-50% range and I didn’t tie myself down to a certain area with a mortgage which allowed me to accept a new job with a nice raise in the A.

Your returns are 40-50% yet Bernie Madoff gets 1,000 years in prison because his 20% returns raised eyebrows.

 

[Ain't That Something]

Your returns are 40-50% yet Bernie Madoff gets 1,000 years in prison because his 20% returns raised eyebrows.

I mean it's possible if he invested in Moderna, Tesla and shyt. The last 3 years saw a market crash and a recovery at unprecedented rates. Anyone who bought Tesla at 200 3 years ago made out like a thief. shyt I wish I was one of them.

 

[Robbie3000]

Your returns are 40-50% yet Bernie Madoff gets 1,000 years in prison because his 20% returns raised eyebrows.

If you didn’t get in the market after March 2020, you lost. I got 100%+ returns on a good number of stocks that I bought in March-May of 2020.

 

[Conan]

The idea that the stock market is this magic money making tool ignores that 6 percent of professional traders are successful and only 20% of professional investors are successful

No one is saying become a professional investor, I consider that gambling. Just buying index funds that track the market will suffice. And although a lot of posts in this thread are driven by anecdotal information, the numbers show index funds have outperformed real estate consistently going back more than 50 years. Only on the Coli is this a debate.

Read the next sentence in my OP, if a property doesn't hit a certain profit threshold a investor won't buy the property to begin with. Obviously if you can get more money you charge more once you have the property but this thread is in the context of renting being better vs owning cause of home owner expenses. Trust no landlord is out there operating at a lost, those costs are built into the rent price (obviously)

Assumptions change. If you bought the house when the rental market could bear $1500, and 10 years down the line your total expenses exceed rental market prices, then you're fukked.

Landlords crap out all the time, what are you saying? Don't let the last 2 years fool you, on average landlords operate on thin margins.

 

[dora_da_destroyer]

You also can put that money in the market ( and even BTC & ETH as of this moment) and get better returns

BTC down 26% in the past year, S&P up 6.9%, home prices grew an average of 18%

 

[dora_da_destroyer]

this thread makes no sense since it typically cost more money to rent than own. if not, landlords wouldn't make money.

this isn't necessarily true. a lot of landlords rent at a net loss. factors such as time of ownership and prices in your local market will impact this, especially if we're talking SFH

 

[Absolut]

You also can put that money in the market ( and even BTC & ETH as of this moment) and get better returns

I don’t get your point. My place is paid off, but any mortgage for a similar house is much less than the price to rent. Are home owners unable to invest for some reason? Only renters can invest?

 

[CrimsonTider]

If you didn’t get in the market after March 2020, you lost. I got 100%+ returns on a good number of stocks that I bought in March-May of 2020.

what stocks

 

[Astroslik]

BTC down 26% in the past year, S&P up 6.9%, home prices grew an average of 18%

That’s my point. This is the perfect time to buy BTC. The returns will be great. The next bull cycle will have people pissed they missed a bag.