If you’re in the wealth accumulation phase of your life, I think buying a home is a terrible decision (in most cases). Prove me wrong. Seriously. I’m not being rhetorical. I want to see if there’s math that says otherwise.
Show this thread
-
What's the math that says it is a terrible decision? Property taxes and maintenance? Mortgage?
A combination of the average growth of home value over the past 100 years compared to various investments like rental units, sp500 and income producing assets
-
-
@theSamParr your also forgetting the high transaction cost associated with buying a home. That is easily 2-3% of the purchase price. That money is gone. The S&P index dominates over house appreciation over the past 50 plus years.Thanks. Twitter will use this to make your timeline better. UndoUndo
-
-
-
I find it hard to compare. Its not 300k house vs 300k invested. Most people are 10x leveraged with a mortgage. So for most people it’s 30k downpayment or 30k invested. In which case a 300k house with mortgage has more potential. What am I missing here?
-
Also can’t compare return of the snp500 because this is more like picking one stock vs a house. If you pick a bad house the you don’t make much ROI same with picking one stock.
End of conversation
New conversation -
Loading seems to be taking a while.
Twitter may be over capacity or experiencing a momentary hiccup. Try again or visit Twitter Status for more information.