4 ms·
Rent rises, your mortgage doesn't. I have locked in $3500/month current cost to have a home, which is about what rent would be (once you account for gains from
by edmundsauto 5y ago
Rent rises, your mortgage doesn't. I have locked in $3500/month current cost to have a home, which is about what rent would be (once you account for gains from investing the down payment to offset the rent).
Since 1980, in the US, rents have increased 9% per year. In 20 years, the rent will be 2-4x, whereas my mortgage will remain the same (modulo a lowered interest deduction).
Even if it's about as financially efficient (which I doubt), it's a very powerful feeling to have locked down a fixed cost of housing for as long as I want to live in California.