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In very hot housing markets the cost of owning exceeds the cost of renting, because buyers are gambling that prices will keep skyrocketing and they will make up
by esoterica 7y ago
In very hot housing markets the cost of owning exceeds the cost of renting, because buyers are gambling that prices will keep skyrocketing and they will make up for it in capital gains. If prices fail to increase for some reason (e.g. tech bubble bursts in SF) then buying will cost them hundreds of thousands or millions.