Most people see buying a home as a part of the “American Dream”, well for most it’s become a nightmare.
Buying a home is pretty much the best way to throw your money away and here’s why.
Renters win because they have the flexibility that homeowners do not and after 30 years alone of paying interest to the bank, you’ve lost out on any potential monetary benefit.
You never truly own the home.
Even after paying off the mortgage, there’s still property taxes, HOA fees, home insurance and other mandatory costs which make buying a home a veritable money pit. You must consider every single penny that you spend in direct or indirect relation to the home.
Read more: http://www.girlsjustwannahavefunds.com/renters-vs-buyers-6-reasons-why-renters-win#ixzz1iGpgbdO1
I have lived in the US for the last three decades and I have observed the ups and downs of buying homes. What I think can also be proposed alternatively or additionally is that rent below your capacity and save until you have accumulated enough money to buy a home without a mortgage. Or, also can be proposed that buy a home with a short-term mortgage to the tune of five and maximum of ten years of payments so that you own the home in five years or in a maximum of ten years, no more. Renting and owning both have their own headaches, neither is trouble free. Considering the prices of properties three decades ago, despite all the economic upheavals in between, today’s low prices are still considerably higher than the values thirty years ago making home-buying a good investment.