/biz/ - Business & Finance

[Anonymous No.18711955]

Is paying mortgage better than paying rent in every situation?

[Anonymous No.18711968]

>>18711955
No, think if you invested your mortgage in Link instead?

[Anonymous No.18711982]

No, some housing markets are ridiculously overpriced to the point where you're better off renting. Also if you aren't planning on staying somewhere for a while you're better off renting.

[Anonymous No.18712066]

>>18711955
I don't usually say this, but that's a man isn't it?

[Anonymous No.18712096]

>>18712066
it is hard to tell
>>18711955
rent cheaply, trash the place, move

[Anonymous No.18712117]

I wonder this as well. I have trouble believing the value of a house outpaces a 30 year mortgage at 7 percent or something which is what my dad had on our house.

[Anonymous No.18712242]

>>18712066
yes

[Anonymous No.18712263]

>>18712117
why is this cartoon so hard to read

[Anonymous No.18712294]

it honestly depends. If you're living with housemates/roommates you can save a fuckton of money. I lived with 5 roommates in a 4 bedroom house because two of them were a couple. We each paid $450 a month to live in a house, split utilities which was always around $90 each give or take. Meanwhile wagies are working in the same town to afford a 1k studio apartment.

Also buying a house only really makes sense when you have job security. I see plenty of people in my age group 25-30 jumping on houses and they all have shit jobs. Security guards, photographers, one guy works at mcdonalds and his wife works at makeup store. All of them live paycheck to paycheck and all of them have to rely on gibs to pay their pay mortgage right now. That being said, they are gaining equity.

It's a tossup. Whatever you do don't live paycheck to paycheck renting. Stay with mom and dad or depend on a fuckton of housemates.

[Anonymous No.18712302]

>>18712066
>>18712096
This is one of the most obvious men ever.

[Anonymous No.18712318]

>>18711955
Liquidity tends to be low

[Anonymous No.18712320]

You can do a Google search for a map where this applies. Basically for any onions coastal city where salaries are huge, it makes more sense to rent.

I'm doing what most smart-but-no-wealth people are doing.

>work for 8-10 years in a high paying city job (make 120k with 1400 rent right now)
>move to flyover with 400-600k
>buy a house and some rental property
>work remote or easy local job
>made it

[Anonymous No.18712333]

>>18712263
You're having a stroke.

[Anonymous No.18712356]

>>18712320
This is my plan, minus having a good job because I'm FINANCIALLY FUCKING RUINED

[Anonymous No.18712365]

>>18712333
ch-checked

[Anonymous No.18712367]

When you take out a mortgage you are still paying rent. You are just paying rent on the money you borrowed, instead of rent on a property.

Regardless it's all about what your needs are anyway. If you can afford to sit on a property for a long time while waiting for it to sell, then it's the better way to go.

[Anonymous No.18712376]

>>18712117
>7%

haha, kiked

[Anonymous No.18712382]

No. If you have no children, it's not worth the costs to live anywhere with more than 1 bedroom. A $700 bd apartment is equivalent to a $120k home cost-wise and perfect for a single person or couple.
Also, the home you live in is not an investment. You will be lucky if your home's appreciation pays for your tax and maintenance, but you will not be able to overcome the opportunity costs of having so much wealth tied up in the home's equity when it could be making more money in the stock market.

[Anonymous No.18712452]

>>18712294
Imagine all the gay buttsex you faggots had with each other. Was it worth it? The AIDS you have?

Accept Jesus in your life before you hurt anyone else

[Anonymous No.18712479]

>>18712452

>this incredible projection

Nigga can't even fathom what healthy male friendships are like

[Anonymous No.18712536]

>get mortgage for 3.5% APR
>deduct taxes & interest to bring it down to like 2.8% effective rate
>use capital to return 20% CAGR
Mortgage is literally free money if you have >100IQ

[Anonymous No.18712590]

>>18712452
the couple was a man and woman. with me, one other guy, and one other girl

we saved so much money living together. had the best parties, had the best hangouts, we had made it. now some broke aspie on biz is calling me gay from his mothers basement kek

[Anonymous No.18713183]

>>18712320
are you going to have kids?
how's education in flyover states?

Doesn't make sense if you're fucking up your kids future

[Anonymous No.18713272]

>>18711955

15 year mortgage makes more sense because the principle/interest ratio is in your favor even if you sell shortly after.

30 year mortgage is ass fucking from the bank you get nothing in return ratio is flipped interest is more than the principle and any gains you've had in equity in a few years go down the drain in seller fees and last minute repairs.

Pay it now or pay it later.

I like my 15 year mortgage because I now don't have to figure out another 400,000 later in life. Cost me a ton in the down payment but I prefer the safer comfortable route utilizing my maximum earning potential early in life.

[Anonymous No.18713285]

>>18711955
Thats a man

[Anonymous No.18713335]

>>18713183
Kids would be far better off away from degenerate liberal cesspool cities

[Anonymous No.18713351]

>>18711955
There are a lot of variables, but for where I live, its mostly...

Mortgage, car, insurance, and all bills costs MORE than to just rent an apartment near businesses and grocery and not use a car

[Anonymous No.18713360]

>>18713272
15 year might be a good idea then. I might consider doing that. I don't know when I'll be in a position in my life to do so though.

[Anonymous No.18713422]

>>18713360
You should always opt for a 15 year mortgage. You will save tens of thousands of dollars, maybe 6 figures. Also your mortgage payment should not be more than 1/3 of your take home pay. Or you will be house poor.

[Anonymous No.18713435]

>>18712479
2 cents have been credited to your account

[Anonymous No.18713449]

>>18713422
Guess no home for me until I turn 30. I fell for the student loan jew too. Le sigh.

[Anonymous No.18713453]

>>18713360
you can take a 30 year mortgage and just make more than the minimum payment each month to close it out in 15 or less years

[Anonymous No.18713475]

>>18713453
Bad advice. Do the 15 year so it forces you to pay it down.

[Anonymous No.18713488]

>>18712382
this is not true. Interest rates are so low now and you can lock them in, you cant lock in the rate of the market.
How can you definitively say A homes appreciation will be offset by its MX and prop tax. Depending on where you live tax could be extremely cheap and if you can do general up keep around the house you wont have to shell out for a certified professional. The only big thing is roofs, but those are good for 20-30 years depending on where you live. You can refinance and free up money or even borrow against the loan to get cash if you need it. Look at the market now, 20 Mil out of work and its still bullish! You going to go all in now, put your money where your mouth is and take out a max personal loan and go all in on the maket and lets see who wins in 5 years

[Anonymous No.18713631]

>>18711955
I bought my house for 85,000. I wish I never did. It's in a good area and I could "sell" it for 100,000. I much prefer renting because I have a massive amount of anxiety and I can't handle property. The only thing I like is not having to worry about neighbors, but even then its not that bad.
I really want to sell my house, live like a minimalist, and just pack up my things every year and go somewhere else. I don't think I can retire because all my investments are now at a lost since I started my 401k.
I kind of also want to live with my family too. It's lonely as fuck.

[Anonymous No.18713652]

I paid of my mortgage in 2018. Thanks bagholders.

[Anonymous No.18713818]

>>18713475
>>18713453
both are 0 IQ strategies. Your free capital should go into investments with much higher CAGR than 3.0% or w/e your adjust mortgage rate is

[Anonymous No.18713963]

>>18713183
Literally everything is better in flyover states. No, your kid won't be going to a giant school with lots of international awareness and an up to date political correct code of ethics.

If you would rather your kid go to some school with 5k students than a quaint HS where their class will have less than a few hundred kids whose teachers know each of them intimately, you are a fucking cuck and shouldn't have kids anyway.

Oh no, you're raising your kids in Kansas??? Aren't you afraid of fugging them uppbb?? ohh shidddd

[Anonymous No.18714011]

>>18713963
Silly goy. You should raise your children in a socially aware progressive school system with high ratings. Sure, you will have to move to a city with high COL and low civil liberties but it's for the best. Children are our future, goy!

[Anonymous No.18714061]

>>18713818

there's too much uncertainty right now to just assume you'll be able to make up for the interest on your investments we could be entering a multi year recession and bear market you could end up losing the interest and what you've invested as well. maybe not but there's a degree of risk involved

[Anonymous No.18714180]

>>18711955
this is not correct. there are as with many things granular differences for individuals and situations. sometimes a mortgage can lock someone into a location or payment when if they were renting/leasing etc. they would have had the freedom to relocate and find better education work etc. however most normal fags are retarded and will never amount to more than cattle so the answer is yes for you and the ones you care about paying a mortgage is always the best in every situation you will ever be able to call an opportunity in your life.

[Anonymous No.18714261]

>>18714061
Like I said above you need at least 100IQ to make it work

[Anonymous No.18714302]

>>18714061

It's not just your appreciation vs. interest rate. Consider the fact that you're paying into actual equity while renters are putting their money entirely into a dumpster fire.

The equation you have to consider is equity + appreciation - maintenance - interest

In a lot of low CoL markets buying a house (provided you make a good purchase) is preferable to renting and wasting your time.

[Anonymous No.18714325]

>>18711955
yes

[Anonymous No.18714329]

>>18711955
>in every situation?
The answer is obviously "no" retard

[Anonymous No.18714338]

>>18714302

I agree it's better than renting either way I'm talking about paying off your house as soon as possible vs as slow as possible paying as little on it as possible and investing more instead