3 ms·
It’s not that simple. If your principal is ~$1.5k/mth, then you actually own an extra $1.1k/mth, but it’s invested into SFH real estate rather than stock market
by reducesuffering 3y ago
It’s not that simple. If your principal is ~$1.5k/mth, then you actually own an extra $1.1k/mth, but it’s invested into SFH real estate rather than stock market. Then there’s the opportunity cost trade-off of the down payment being invested in SFH real estate or stock market.
Maintenance problems can be solved purely by your equity savings put towards handymen. As that is exactly what most property owners do that would be renting to you.
- bachmeier 3y ago> If your principal is ~$1.5k/mth, then you actually own an extra $1.1k/mth The cost of the house (not counting principal repayment) was $400 above my rent, not $400.
- reducesuffering 3y agoIf your monthly PITI payment is $4k, principal $1.5k, rent $3.6k, then your net worth hit is actually only $2.5k/mth from the house. If you’re saying interest, taxes, and insurance were all $4k/mth, $400/mth, then sure, but people usually don’t talk about the costs of their mortgage that way.