4 ms·

It really seems to depend... I believe the article in the big cities they listed. Here in Raleigh, North Carolina suburbs, for the specific place I own, I'm de

It really seems to depend... I believe the article in the big cities they listed. Here in Raleigh, North Carolina suburbs, for the specific place I own, I'm definitely spending less on my principle+interest+insurance+taxes+HOA+maintenance than renting. This is far from the case for everyone, even in the same area, especially depending on what is being rented, and if the total rent is being split by 2+ people. (I live alone in a 2BR residence.)

gowld 6y ago
> principle+interest+insurance+taxes+HOA+maintenance How long have you lived there, and how old is the property? And how long will you own? Selling a home is incredibly expensive.
- fragmede 6y ago
  There are lots of costs associated with selling a home, but if there is significant equity built up in the property, and its value has appreciated, (which, to be fair are big "ifs" in current conditions) then those costs are less impactful. Trying to sell a home with a mortgage that's underwater after 3 yrs is the worst, but selling a mostly-paid off house after 10 or 20 years in a very popular area is less so. That's only if you have the cash-flow to do so, so keep that credit score up!
poulsbohemian 6y ago
I wanted to read the article with an open mind. The basic argument seems to be that the markets in these places are overpriced and will eventually fall, so a potentially buyer should wait for that opportunity. For the two markets where I have some familiarity - Seattle and Portland - there are reasons why they have appreciated quickly outside historic norms, and there aren't indicators that would show these markets (especially Seattle) are going to go into a precipitous decline any time soon. Thus, it's hard for me to really follow their argument - maybe the other cities they list are in a different position? I'll declare by bias here too: I am a realtor in WA, near the Oregon state line, and I continue to believe that real estate is a fantastic wealth-building activity that should be at least considered when one is evaluating their overall portfolio. I feel blessed (and I don't use that term lightly) to live in an area with a very high % of home ownership, even though local incomes are relatively low. I fear a world where home ownership is consolidated in the hands of investors, as has happened and continues to happen in high-cost areas (which I do not believe is a coincidence).

gowld 6y ago

> principle+interest+insurance+taxes+HOA+maintenance How long have you lived there, and how old is the property? And how long will you own? Selling a home is incredibly expensive.

fragmede 6y ago
There are lots of costs associated with selling a home, but if there is significant equity built up in the property, and its value has appreciated, (which, to be fair are big "ifs" in current conditions) then those costs are less impactful. Trying to sell a home with a mortgage that's underwater after 3 yrs is the worst, but selling a mostly-paid off house after 10 or 20 years in a very popular area is less so. That's only if you have the cash-flow to do so, so keep that credit score up!

poulsbohemian 6y ago

I wanted to read the article with an open mind. The basic argument seems to be that the markets in these places are overpriced and will eventually fall, so a potentially buyer should wait for that opportunity. For the two markets where I have some familiarity - Seattle and Portland - there are reasons why they have appreciated quickly outside historic norms, and there aren't indicators that would show these markets (especially Seattle) are going to go into a precipitous decline any time soon. Thus, it's hard for me to really follow their argument - maybe the other cities they list are in a different position? I'll declare by bias here too: I am a realtor in WA, near the Oregon state line, and I continue to believe that real estate is a fantastic wealth-building activity that should be at least considered when one is evaluating their overall portfolio. I feel blessed (and I don't use that term lightly) to live in an area with a very high % of home ownership, even though local incomes are relatively low. I fear a world where home ownership is consolidated in the hands of investors, as has happened and continues to happen in high-cost areas (which I do not believe is a coincidence).