Quote:
Originally Posted by mrkajz44
I've never understood the rent vs own argument. Am I crazy, or is it not reasonable to think that the overall cost of renting and the overall cost of owning is generally the same? That is why some people rent and some people buy? Each individual circumstance is different of course, but in the long run, the market is priced as such that you should be indifferent between renting and buying.
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If that was consistently true then no one would ever be a landlord.
Sometimes renting is cheaper than owning but often it isn't; it really depends on the prevailing conditions. I know in BC in the early 2000s you could put a small down payment on a rental house and be able to pay it off in 10-15 years with the rental income covering the mortgage and all of the expenses. Cap rates of 7-10% were pretty normal in residential rentals back then.