4 ms·

That's only if the rent you receive is greater than the mortgage with interest you pay to the bank. Sometimes that math doesn't work out.

• lelanthran 4y ago
  > That's only if the rent you receive is greater than the mortgage and interest you pay to the bank. Sometimes that math doesn't check out. Rarely does it not check out over time. Rents go up every year, more in those years that see an interest rate increase. Repayments track the interest only. In the first two years, your rental (and costs of rental) won't match the mortgage. After five years it's unlikely that your rental income doesn't match the mortgage, interests and costs.
  • ChuckNorris89 4y ago
    >Rents go up every year, Unless you live in an area with rent control or have a tenant who has payment issues and evictions are long and tedious.
    • lelanthran 4y ago
      Well, then, don't buy a property with the aim of renting it out in a rent-controlled area. And seeing as how you're essentially getting a return by investing someone else's money, go through the 3 month long eviction process and vet your renter more thoroughly. Honestly, the way you say it, one would think that most landlords make a loss by renting out their properties. Trust me, they aren't.
    • KptMarchewa 4y ago
      It's one of the reasons why rent control works negatively in the long run.