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True but if you need to replace the roof tomorrow you suddenly have an unexpected expense of $20K+. But in general I agree with your point. Buying a place is a
by tinyhouse 8y ago
True but if you need to replace the roof tomorrow you suddenly have an unexpected expense of $20K+.
But in general I agree with your point. Buying a place is about stability and control. Especially no one can kick you out as long as you make your payments. I don't think it's a better investment option out there but it's safer for most people than investing in things they don't understand. And if you happen to buy a place in an area that is booming in the next few years then it can really be worth it. But that's the same like buying early a stock of a company that makes it big.
- scarface74 8y agoI wouldn’t go that far. If that place is “booming” likely so is all the other places that are similar that you would like to live. Unless you sell and move to a much lower cost of living area, the equity in your house doesn’t help you. If you go by the popularly accepted rule of thumb, you should put 1% of your house’s value in savings for unexpected home repairs per year. Feels a little high to me.