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> Understand your house is a leveraged investment and you'll do well. Your primary house is not an investment, because if you sell it you are now homeless. Thi

• globular-toast 5y ago
  No you're not. You should be able to afford many years of rent with the cash from selling a house.
  • danielrpa 5y ago
    Renting isn't like owning a house. You can be kicked out of your rental unit if your landlord decides to do a number of things, such as converting your rental to a condo or sell the property. Rents can go up arbitrarily. A paid off house gives you a type of stability, belonging and security that rentals don't generally offer (at the expense of flexibility and mobility). I'm not trying to say that owning is better than renting, just that they are different enough for the "buying your house isn't an investment" statement to be mostly true.
    • globular-toast 5y ago
      > Renting isn't like owning a house. True, but calling renters "homeless" would be ridiculous. Unfortunately I think people have forgotten what an investment really is. An investment is just a capital allocation. It's not about buying now and then selling later for profit. That's called speculation. A good investment will continue to deliver value over time. A house literally keeps you alive. Of course it's an investment.
• warkdarrior 5y ago
  You are assuming being homeless has an infinite negative cost. As with most things in life, becoming homeless has a certain risk and a certain downside, both of which can be estimated. Those estimates should plug into your calculation when you determine when to buy a house and for long to hold it.