Quote:
Originally Posted by moon
Maybe I have been given different financial advise than others but from the successful people that I know, owning is always preferable to renting in the long term and buying a house that you can't afford long term isn't a good idea anytime whether in a boom, bust or in between.
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I'm going to use houses like mine as an example; as it's new enough and there's lots on MLS. Last summer I saw houses like mine selling for $380K. This year they are listed for $350K. I think the point was that instead of buying a house last year it would have been smarter to "throw away money" on rent for a year to buy for $30K less. Even with $1500/month rent you are still up by $12K, plus another $1500 in taxes not paid.
Yes, hindsight is 20/20, and the people who bought last year will still make money if they keep their house for another 20 years. But the time to buy would have been now and not then.