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by swingbridge 4017 days ago
It's good to get people thinking about all the things included in the calculator. Most people are totally clueless when it comes to the real cost/value of owning. They only see what someone bought a property for and what it sold for some time later.

A home you live in is almost always a net cost. It's not really an investment so much as its a cost avoidance (vs renting). Buying more house than you need "because this is an investment" is almost always a bad idea if you live in the home and thus are the one footing the bigger tax bill, interest, maintenance, utilities, improvements...
1 comments
ekianjo 4017 days ago
> A home you live in is almost always a net cost.

Plus it "prevents" you from moving somewhere else. Or let's say, it increases the friction of moving somewhere else. Most home owners stay at the same place for the rest of their lives.

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vonmoltke 4016 days ago
There are a whole lot of other factors that increase friction more than owning your domicile, and those factors tend to be stronger with people who are motivated to buy:

- Deep networks of friends - Strong community ties - Strong local family ties - Children with their attendant social networks - General aversion to moving frequently

Also, the idea that "most" homeowners never leave is antiquated. Nearly everyone I know who has bought a property has bought more than one before 40.

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ekianjo 4016 days ago
> Also, the idea that "most" homeowners never leave is antiquated. Nearly everyone I know who has bought a property has bought more than one before 40.

I'm guessing you live in the US ? Outside people are way less mobile.

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jbb555 4017 days ago
On the plus side, once you've found somewhere you like you can stay there as long as you want. If you rent it's up to the owner how long you can live there
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ekianjo 4017 days ago
True, but there's always the risk that where you like living changes over time and becomes HELL 20-30 years down the road. And I have seen this happen among several of my family members.

When you rent, sure, you can't stay forever, but you have visibility at 2 years down the road (depends on the country where you live, but where I do the owner cannot get you out for the duration of your lease, and that's usually 2 years).

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