Renting vs. buying a home
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Renting vs. buying a home
1–10 of 155 posts
Re: Renting vs. buying a home
#2Warning flag to anyone who watches this for curiosity: the formula for interest is most certainly not (principle * ROI)
Re: Renting vs. buying a home
#3I've rented for my entire adult like (I'm currently 31 living in Somerville/Boston). While my sister bought her first house in Pittsburgh when she was 23, and my parents had moved between several houses they purchased by my age... I've been happy renting.
I didn't want to buy a house until recently, but now I want to buy one around here. Why?
For one thing, in the major cities the rents keep going up at a rate faster than what the government reports national inflation to be. Your (fix rate) mortgage shouldn't change over 30 years, but your rent will likely triple or more in that time in a city like Boston.
But the biggest thing? Customization. I like building and changing things. I'm so tired of landlords that won't let me rip down walls, replace sinks, get a new fridge, repaint everything, etc... not that they should, but I still want to change things. Buying my own place will enable me to do this.
Another thing I can do around here, is buy a place that has 5 bedrooms, and rent out the other 4. I've had several friends that do this, and it essentially pays for their mortgage by having roommates. Not a bad deal.
Re: Renting vs. buying a home
#4One of my favorite interactive pieces from the NYTimes is a Rent vs Buy calculator which is very configurable:
http://www.nytimes.com/interactive/business/buy-rent-calcula...
Re: Renting vs. buying a home
#5One of my favorite interactive pieces from the NYTimes is a Rent vs Buy calculator which is very configurable: http://www.nytimes.com/interactive/business/buy-rent-calcula...
rent v. buy is a function of the specifics; not a generalization proposition.
Re: Renting vs. buying a home
#6I'd LOVE to find a CD @ 4%. And I'm also glad my mortgage rate is 3.75%.
Re: Renting vs. buying a home
#7I've rented for my entire adult like (I'm currently 31 living in Somerville/Boston). While my sister bought her first house in Pittsburgh when she was 23, and my parents had moved between several houses they purchased by my age... I've been happy renting. I didn't want to buy a house until recently, but now I want to buy one around here. Why? For one thing, in the major cities the rents keep going up at a rate faster…
I am 31, looking to buy a home in next 6 months for the same exact reasons in Chicago.
The rents are insane and they just seem to keep going up and you have to deal with douchy landlords who just dont give a fuck because the demand is so high in downtown area.
Re: Renting vs. buying a home
#8One of my favorite interactive pieces from the NYTimes is a Rent vs Buy calculator which is very configurable: http://www.nytimes.com/interactive/business/buy-rent-calcula...
The numbers are very inflated against buying. 10% closing cost, 1.35% property taxes, utilities only if you buy, another 1.35% annually on maintenance/renos/insurance.
Who is paying 2.6% of their property value each year on those things? Who gets utilities for free with their rent. That calculator is very dishonest.
Re: Renting vs. buying a home
#9One of my favorite interactive pieces from the NYTimes is a Rent vs Buy calculator which is very configurable: http://www.nytimes.com/interactive/business/buy-rent-calcula...
Agreed, this is the best one I've found as well. It's especially notable as it allows you to add common charges which in major cities often tips the balance of buying from maybe-good-in-ten-years to never.
Re: Renting vs. buying a home
#10I've rented for my entire adult like (I'm currently 31 living in Somerville/Boston). While my sister bought her first house in Pittsburgh when she was 23, and my parents had moved between several houses they purchased by my age... I've been happy renting. I didn't want to buy a house until recently, but now I want to buy one around here. Why? For one thing, in the major cities the rents keep going up at a rate faster…
I am 31, looking to buy a home in next 6 months for the same exact reasons in Chicago. The rents are insane and they just seem to keep going up and you have to deal with douchy landlords who just dont give a fuck because the demand is so high in downtown area.
Right, even if my monthly outlay now seems high... in even 5 years I'm guessing it will seem reasonable.
The apartment I lived in Back Bay 5 years ago was $900 before, and now its $1350.