Aside from the personal financial risks detailed (quite well) in the comments below, there's also the PITA factor. Homeownership is a Pain In The Ass. Especiall

Aside from the personal financial risks detailed (quite well) in the comments below, there's also the PITA factor. Homeownership is a Pain In The Ass. Especially if you live in a "shared community," such as a condo building in SF, with a strong-willed HOA. Especially if you live in a home or building with any sort of construction issues -- most of which will reveal themselves, by Murphy's Law, the week after you lift contingencies and close escrow. Especially if you are the least bit neurotic about home prices, the state of the market, and the preservation of your principal (to say nothing of positive ROI). Buying is not for the faint of heart, the easily stressed, or anyone who's even slightly uncertain about the direction of the next 5-10 years of his life. Some people just don't want the headache. And you don't know how big a headache it really is until you've taken the plunge. I know more than a few former homeowners who have sworn they'll never buy again, regardless of whether it makes financial sense.