Thread 60789211

say you have 3 million and live in a coastal state (more expensive)
would you rather:
>spend ~40k a year renting a decent place
>Keep 2.96mil in your assets
OR
>spend ~800k on house + 8k/yr on fucking taxes
>keep remaining 2.18 mil in assets?

Assuming the living quality is about the same. And Why?

>>60789211 (OP)
Or what if you only have 2 mil? does this change things? 1 mil?

>>60789211 (OP)
i would rent until i find out for sure the area i want to live in, and then wait until a house pops up that looks decent enough to live in, maybe with some fix-ups, then i'd buy that with a mortgage since i expect to get much higher returns than the interest rate while the money is invested. now i have my house where i can set up shop, and keep my investments maxed out.

renting is more optimal for money and for being a transient. buying is more optimal for not dealing with landlord shit. it depends on what your goals are and a lot of other variables

Owning your own home is every white man's duty.

>>60789211 (OP)
>spend ~40k a year renting a decent place
And then ~60k the next year, ~90k the year after that, etc.

>>60789238
>renting is more optimal for money and for being a transient. buying is more optimal for not dealing with landlord shit.
this is basically what it comes down to
>>60789262
>And then ~60k the next year, ~90k the year after that, etc.
if that happens your assets will also be inflating like crazh
also in most coastal states theres a 5% rent control so no

>>60789426
>rent control
LOL

If your assets are real-estate, you may as well live in one of them and make use of the property tax deduction and future tax advantage at time of sale, instead of providing investment returns to some other landlord.

>>60789448
standard deduction is more than property tax if thats your only deduction. unless you're also taking mortgage interest. would the bank even give me a loan if i don't have a high paying job only crypto

>>60789211 (OP)
Pick the 3rd option.
Mortgage that 800k house with a 40k down payment. You will keep most of your money and save a lot of money if the rate is variable.

>>60790589

but what if you dont qualify? that's like $5k/month without PMI taxes and insurance. most NEETS here would have to buy in cash or put a substantial down payment to qualify

>>60790668
If you can't qualify then renting is better.

>>60790682

thats probably true. that 800k at 8% could be 64k/yr in the s&p, which would be more than enough to cover your rent. but eventually, your rent will be more than $64k/yr. would it be better to take the hit now or take it later? hard to say which is the right move.

>>60789513
Some states also allow property tax to be deducted for state tax purposes, though of course that will vary if you even live in a state with income taxes. Banks don't care about income as long as you have enough collateral.

renting is a far better deal
would only buy if i found like, the literal perfect place that i want to own for my entire life

>>60789211 (OP)
>Assuming the living quality is about the same. And Why?
Your question is bunk because this will never be the case. Sharing a wall with someone is WAY worse than not sharing a wall with someone.

>>60791012
As long as mortgage rates are below 7%, they are better than renting.

>>60789211 (OP)
>800k on a house
>coastal state
You mean 900k for an apartment?

>>60792262
Renting is only good if you can invest your money in something that goes up more than the house would. A leveraged long on housing like a mortgage is always better than renting because the money you save on the rent payment vs mortgage payment and invest into stocks or whatever will not be able to beat the 5% annual increase in housing prices.

If you own you can do whatever you want. If you rent you better hope your landlord gives a shit when your LVP degrades and garage door stops working

>>60789211 (OP)
I'd buy a house for no more than 30ish% of NW, which you seem to be on to, but put as little money down as possible while paying it with dividends, which would be tax free from itemizing/mortgage deduction. But I wouldn't do it in a coastal state because fuck taxes...and if you say washington, estate taxes there are fucked as can be.

>>60789211 (OP)
i would move to the interior and buy a nice but affordable house in a good neighborhood.

why did UNH spike after hours?

>>60789238
Richfag here, you can't just "get a mortgage" without an income. It's more involved, for one. If you do an equity backed loan, they require a crazy multiplier on how much equity backs the loan, depending on the security.

Renting is much more attractive, since companies doing rentals just want to see a bank statement with 3x the lease amount in the bank when you apply, and don't check again later. I cashed out some bitcoin, slapped it into my bank account, applied, and then put it back into crypto after.

if you want to buy a house you can get a lot of concessions for paying cash, so if you want to own it's worth it to just pay upfront, THEN get a home equity line of credit. Still hard without income, but easier than trying to get a mortgage without proof of income.

>>60793143
If you have 2 years of dividend history it can be used to get a mortgage, but if you're trying to buy a house that's a significant percentage of your nw, it won't be enough to qualify and you'd have to buy cash.