3 ms·
I don’t get the distinction between paying fixed interest and paying a fixed amount called rent. In both cases you pay an amount and own the house at the end. I
by zaphirplane 7y ago
I don’t get the distinction between paying fixed interest and paying a fixed amount called rent. In both cases you pay an amount and own the house at the end. In both cases the lender makes money.
This sounds more letter vs spirit of the law
I am not a money lender I am a tap water buyer at 1k a cup, after a year you have to buy your water back at 1.2k a cup ;)
- AkshatM 7y agoYes, the distinction is effectively only a connotational one and not a denotational one.
- nigerian1981 7y agoIn the interest model you are paying to borrow money. In the rent model the risk is shared between the lender and renter. The lender is responsible for their share of the property and should contribute to the maintenance, building insurance etc.