tag:blogger.com,1999:blog-20389297.post1382693899263487100..comments2023-06-22T05:47:58.821-04:00Comments on Die Eigenheit: Why Own When You Can Rent?Einzigehttp://www.blogger.com/profile/06406227217230727209noreply@blogger.comBlogger7125tag:blogger.com,1999:blog-20389297.post-90563535369698753772008-07-24T12:00:00.000-04:002008-07-24T12:00:00.000-04:00I've been renting for a few years now and the bene...I've been renting for a few years now and the benefits over owning a house are what maintained my interest in the market. You only have to answer to your landlord and so long as you pay rent on time each month then you have nothing to worry about.<BR/><BR/>However, my current landlord has decided to get a quick property sale and has left me in the lurch somewhat. I was wondering what the rules samlyons23https://www.blogger.com/profile/01472397037970190102noreply@blogger.comtag:blogger.com,1999:blog-20389297.post-20258033655190688292007-07-11T15:01:00.000-04:002007-07-11T15:01:00.000-04:00Tax laws can change (and have - sometimes signific...Tax laws can change (and have - sometimes significantly - witness the real estate crash of 1987). Including any supposed tax benefits in your profitability analysis is therefore as ill-advised as including estimates of future appreciation.Einzigehttps://www.blogger.com/profile/06406227217230727209noreply@blogger.comtag:blogger.com,1999:blog-20389297.post-16637817760878621832007-07-11T13:51:00.000-04:002007-07-11T13:51:00.000-04:00The only comment I would have on these buy/rent an...The only comment I would have on these buy/rent analysis is that one should account for the ability to deduct the interest off of your taxes. This works for buying and living in the home. That would result in some of the differences being much smaller.<BR/><BR/>As to owning and renting out, I feel it would almost always be bad to have a negative cash flow. However, any negative cash flow and Unknownhttps://www.blogger.com/profile/15395769241587264268noreply@blogger.comtag:blogger.com,1999:blog-20389297.post-30652387496752581812007-03-10T10:33:00.000-05:002007-03-10T10:33:00.000-05:00That's a fairly significant difference you've calc...That's a fairly significant difference you've calculated there.<BR/><BR/>I must admit, I'd like to know what Dan's assumption on inflation is - if it's also 5%, it would be patently unrealistic.<BR/><BR/>I meant to mention earlier, that in comparing the property market to the stockmarket, in Australia, <A HREF="http://en.wikipedia.org/wiki/Dividend_imputation" REL="nofollow">dividend imputation</Dikkiihttps://www.blogger.com/profile/07897381809885423712noreply@blogger.comtag:blogger.com,1999:blog-20389297.post-75093355396850535792007-03-09T02:32:00.000-05:002007-03-09T02:32:00.000-05:00Dikkii, I hear you!I think I'm going to have to si...Dikkii, I hear you!<BR/><BR/>I think I'm going to have to sit down and really work through some numbers myself, because this belief that real estate is a good investment is <B>so friggin' pervasive</B>!<BR/><BR/>I was just chatting with my mom about this tonight. She was insisting that the net rental income she's currently getting from her properties is higher than what she could get in the Einzigehttps://www.blogger.com/profile/06406227217230727209noreply@blogger.comtag:blogger.com,1999:blog-20389297.post-84736864791562276712007-03-01T21:37:00.000-05:002007-03-01T21:37:00.000-05:00I crunched the numbers some years ago on this and ...I crunched the numbers some years ago on this and worked out that rental yields were so low that for the first twenty years of a thirty year mortgage, assuming a fixed rate and that you were meeting minimum payments only, you would be paying more in interest alone than what you would to rent the equivalent property.<BR/><BR/>And people talk about renting as throwing money away!<BR/><BR/>Can't Dikkiihttps://www.blogger.com/profile/07897381809885423712noreply@blogger.comtag:blogger.com,1999:blog-20389297.post-49012970434666845912007-02-26T20:24:00.000-05:002007-02-26T20:24:00.000-05:00It really is hard to know when to buy in the real ...It really is hard to know when to buy in the real estate market. <BR/><BR/>The first single family home investment I bought (1980's) cost me over $100 each month when it was rented, and even more when it was vacant. It did start to make money after a few years, and, eventually, I made a good profit when it was sold.<BR/><BR/>A large inventory (more supply than demand), low interest rates, and aAnonymousnoreply@blogger.com