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>it's tough to imagine buying and then being on the hook for a mortgage without a job even with some savings Key thing to remember here is that you always have
by ramesh31 11mo ago
>it's tough to imagine buying and then being on the hook for a mortgage without a job even with some savings
Key thing to remember here is that you always have to live somewhere, even if you're laid off. Unless you're ready to head out to BFE to save a few hundred bucks on rent, it doesn't get much better than owning in that situation. Plus you could potentially have equity to tap, get a hardship forbearance, or worst case scenario foreclosures take much longer than evictions. This was the lesson COVID era taught me; if you're losing your home it's considered a tragedy, and there are tons of resources to help you. But if you're being evicted from an apartment it's considered a personal moral failure, and you're treated like a criminal.
- oxag3n 11mo agoNot true. Down payment can support rent for years and years in HCOL, while owning is more expensive and lacks that cushion.
- tomjakubowski 11mo agoOwning is only more expensive than renting if depreciation + interest + maintenance exceeds rent. And in most US cities, depreciation is negative in the long run. Lots of advantages to owning and having a mortgage too: deduct mortgage interest from taxes, use equity as a line of credit, you can actually make substantial changes to your living space, and so on.
- oxag3n 11mo agoThat was in the context of loosing a job - rent vs. mortgage makes a difference in a span of few years when unable to find similar paying job.