Comments on: The Renter’s Manifesto http://www.mint.com/blog/goals/rent-vs-buy/ The blog of the free, simple personal finance solution. Track all your spending automatically, find the best deals, save more money. And save the world. Sat, 11 Feb 2012 21:46:28 +0000 hourly 1 http://wordpress.org/?v=3.1.3 By: Tiffany http://www.mint.com/blog/goals/rent-vs-buy/comment-page-2/#comment-52751 Tiffany Fri, 11 Jun 2010 21:20:42 +0000 http://www.mint.com/blog/?p=9852#comment-52751 This is a pretty interesting take on renting vs home ownership. Usually these articles are written the other way around. I personally enjoy renting for the simple fact that I don't want to deal with maintenance & utilities, plus if I want to pick up and leave... I Can! This is a pretty interesting take on renting vs home ownership. Usually these articles are written the other way around. I personally enjoy renting for the simple fact that I don’t want to deal with maintenance & utilities, plus if I want to pick up and leave… I Can! ]]> By: microwaveovens http://www.mint.com/blog/goals/rent-vs-buy/comment-page-2/#comment-48271 microwaveovens Wed, 05 May 2010 07:24:00 +0000 http://www.mint.com/blog/?p=9852#comment-48271 We should have always known better. There have been a number of housing bubbles in the past, some worse than the current situation. We should have always known better. There have been a number of housing bubbles in the past, some worse than the current situation. ]]> By: Zeal http://www.mint.com/blog/goals/rent-vs-buy/comment-page-2/#comment-48269 Zeal Wed, 05 May 2010 07:08:14 +0000 http://www.mint.com/blog/?p=9852#comment-48269 I recently went through the home buying experience myself, and one of the things I did was graph the money I'd lose to rent(assuming it increases with average inflation) versus what I'd lose in interest, taxes, basic repairs, insurance, etc from owning a home. It was amazing how long it took for purchasing a home to be cheaper than renting on my graphs. In the end, it was about the rental properties not having what I was looking for, and the desire for owning my own place. Even with the tax credit, and two additional mortgage payments every year towards principle, it will still be 10 years before owning my house will lose me less money than renting (and that's with the tax credit). I recently went through the home buying experience myself, and one of the things I did was graph the money I’d lose to rent(assuming it increases with average inflation) versus what I’d lose in interest, taxes, basic repairs, insurance, etc from owning a home. It was amazing how long it took for purchasing a home to be cheaper than renting on my graphs. In the end, it was about the rental properties not having what I was looking for, and the desire for owning my own place. Even with the tax credit, and two additional mortgage payments every year towards principle, it will still be 10 years before owning my house will lose me less money than renting (and that’s with the tax credit). ]]> By: Jeremy http://www.mint.com/blog/goals/rent-vs-buy/comment-page-2/#comment-48196 Jeremy Mon, 03 May 2010 16:52:51 +0000 http://www.mint.com/blog/?p=9852#comment-48196 Nice work, I like your point about renovation costs, many people think they can just throw cash into a place and make money, Its just not true most the time. Nice work, I like your point about renovation costs, many people think they can just throw cash into a place and make money, Its just not true most the time. ]]> By: pre-kindergarten-toys http://www.mint.com/blog/goals/rent-vs-buy/comment-page-2/#comment-48179 pre-kindergarten-toys Mon, 03 May 2010 05:19:26 +0000 http://www.mint.com/blog/?p=9852#comment-48179 We need to get away from the notion of homes being purchased solely as investments (not unlike stocks) and back to the notion of purchasing a home because you need it! You buy a home because you need the home not because you're counting on it doubling in value every ten years. We need to get away from the notion of homes being purchased solely as investments (not unlike stocks) and back to the notion of purchasing a home because you need it! You buy a home because you need the home not because you’re counting on it doubling in value every ten years. ]]> By: Richy http://www.mint.com/blog/goals/rent-vs-buy/comment-page-2/#comment-48038 Richy Mon, 26 Apr 2010 20:28:25 +0000 http://www.mint.com/blog/?p=9852#comment-48038 I think there are a lot of variables to way. It's not an easy decision. It's a lifestyle decision. The confidence you have in your job staying local is a factor. The size of your household matters. The square footage you live in matters. Whether you can handle landlording or flipping. And the financial calc is a tough one because the result varies with the time you expect to stay in the place. There are many fine buy vs rent calculators you can search for online. I've made a simple spreadsheet on Google Docs if anyone wants to see how I compared the two options recently. It's at; https://docs.google.com/previewtemplate?id=0Aug9UmA5J8NFdDJ1RnBQVE9rT3RVN3c1ZXEyejlHS2c&mode=public I think there are a lot of variables to way. It’s not an easy decision. It’s a lifestyle decision. The confidence you have in your job staying local is a factor. The size of your household matters. The square footage you live in matters. Whether you can handle landlording or flipping. And the financial calc is a tough one because the result varies with the time you expect to stay in the place.
There are many fine buy vs rent calculators you can search for online.
I’ve made a simple spreadsheet on Google Docs if anyone wants to see how I compared the two options recently. It’s at;
https://docs.google.com/previewtemplate?id=0Aug9UmA5J8NFdDJ1RnBQVE9rT3RVN3c1ZXEyejlHS2c&mode=public ]]> By: Anthony http://www.mint.com/blog/goals/rent-vs-buy/comment-page-2/#comment-47947 Anthony Thu, 22 Apr 2010 15:24:49 +0000 http://www.mint.com/blog/?p=9852#comment-47947 Nice discussion! I also living in a rented house but in near future I plan to own one. This post and comments discussion is good to see the both sides of the picture. Nice discussion!

I also living in a rented house but in near future I plan to own one.

This post and comments discussion is good to see the both sides of
the picture.

]]> By: Drummy http://www.mint.com/blog/goals/rent-vs-buy/comment-page-2/#comment-47933 Drummy Thu, 22 Apr 2010 01:44:17 +0000 http://www.mint.com/blog/?p=9852#comment-47933 I bought a condo in 1988. The price shot through the roof, I sold it, made $60,000. Used that money to buy a house in 1989. Prices fell through the floor, I got laid off, and after 5 years sold the house and lost everything. I bought a condo in 2000. The price shot through the roof, I sold it, made $80,000. Used that money to buy a house in 2006. Prices fell through the floor, I hate my job and need to quit, and after 3 years will sell the house and lose everything. Do I detect a pattern?? I'll probably buy again because that's how I am, but logically it's not worth it. I bought a condo in 1988. The price shot through the roof, I sold it, made $60,000. Used that money to buy a house in 1989. Prices fell through the floor, I got laid off, and after 5 years sold the house and lost everything.

I bought a condo in 2000. The price shot through the roof, I sold it, made $80,000. Used that money to buy a house in 2006. Prices fell through the floor, I hate my job and need to quit, and after 3 years will sell the house and lose everything.

Do I detect a pattern?? I’ll probably buy again because that’s how I am, but logically it’s not worth it.

]]> By: Matthew Amster-Burton http://www.mint.com/blog/goals/rent-vs-buy/comment-page-2/#comment-47919 Matthew Amster-Burton Wed, 21 Apr 2010 18:12:54 +0000 http://www.mint.com/blog/?p=9852#comment-47919 Here's a column by David Leonhardt in today's New York Times. I'd like to think (even though I would be completely mistaken) that he wrote it to rebut my column. In Sour Home Market, Buying Often Beats Renting http://www.nytimes.com/2010/04/21/business/economy/21leonhardt.html In it, he confirms what I (and many of you) have said: in some markets, it's cheaper to buy then to rent, and Seattle is emphatically NOT one of those markets. Here’s a column by David Leonhardt in today’s New York Times. I’d like to think (even though I would be completely mistaken) that he wrote it to rebut my column.

In Sour Home Market, Buying Often Beats Renting
http://www.nytimes.com/2010/04/21/business/economy/21leonhardt.html

In it, he confirms what I (and many of you) have said: in some markets, it’s cheaper to buy then to rent, and Seattle is emphatically NOT one of those markets.

]]> By: JM http://www.mint.com/blog/goals/rent-vs-buy/comment-page-2/#comment-47907 JM Thu, 15 Apr 2010 21:38:19 +0000 http://www.mint.com/blog/?p=9852#comment-47907 Great article! I know some people who think home ownership is a required part of the "real world." This Todd character is completely naive to think home owners on average will "earn more equity" in 30 years than someone who rents and saves money. One home owners are paying interest on their mortgage, never heard of renters paying interest. The renter is taking straight cash and investing it, saving it, or otherwise using it for other things they deem important. Housing prices go up and down and factoring in repairs, taxes, fees, interest, and insurance it doesn't seem like owning a home is such as wise investment. Plus Todd, what kind of greedy scam artist are you? Marking up a 1200 a month property to 2000 a month. Thats nearly doubling the price, I'm not sure who would want to rent from you. Great article! I know some people who think home ownership is a required part of the “real world.”

This Todd character is completely naive to think home owners on average will “earn more equity” in 30 years than someone who rents and saves money. One home owners are paying interest on their mortgage, never heard of renters paying interest. The renter is taking straight cash and investing it, saving it, or otherwise using it for other things they deem important. Housing prices go up and down and factoring in repairs, taxes, fees, interest, and insurance it doesn’t seem like owning a home is such as wise investment.

Plus Todd, what kind of greedy scam artist are you? Marking up a 1200 a month property to 2000 a month. Thats nearly doubling the price, I’m not sure who would want to rent from you.

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