6 ms·
Imagine a system where renters could put up a small fee, say 3-5% of the homes value, then just continue paying their monthly "rent" payment as usual. However,
by Ir0nMan 5y ago
Imagine a system where renters could put up a small fee, say 3-5% of the homes value, then just continue paying their monthly "rent" payment as usual. However, each time they pay that monthly rent a portion of that payment goes directly to them as equity. That way years later they could move and benefit from that equity position or after a certain period of time, say 30 years, own the entire home outright.
Oh wait...
- cryptica 5y agoThis is very different because what the previous comment is suggesting is that it will be impossible to rent out a property without losing ownership of it after x years. This would make it very unappealing to rent out a property and it would cause property prices to crash. On the other hand, mortgages only cause property prices to go up because it allows people who could otherwise not afford a house to buy one outright (creating higher aggregate demand). At the same time, it makes it more appealing to own a house because you can collect rent on it and prices always go up because banks keep making loans to people to drive up your property's price.