PryomancerMTGA

PryomancerMTGA t1_irm4vdc wrote

That's a really interesting point on home ownership having a negative impact on income. That's a really good point.

I wasn't aware of anywhere that had property taxes equivalent to rent. I'll have to look into that.

As you have pointed out home ownership decisions can get complicated. It was the right decision for them, but I'm the current market with avg home prices in the $500 k range and mortgage rates like they are maybe not buying makes sense (Dow scares me now too).

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PryomancerMTGA t1_irm0ewh wrote

First a technicality, home ownership is a leveraged investment that also provides several tax benefits that offset Dow index investments advantages. So it wouldn't be calculated a a 2x roi over the time period and was likely cash positive relative to renting before they sold it.

Second and most importantly, would you really advise a couple parents to rent rather than own? Home ownership and paying a mortgage has significant advantages over renting.

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