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0 pointsHappydayz10y ago0 comments

Yes, but there is also the opportunity cost of your downpayment, the transaction costs of getting into and out of a house, and maintenance. Oh man, maintenance.

Ref - transaction costs. You have to figure it will cost you around ~8% of the value of a property to both get into and out of it. This does not include the cost of movers. With a rental your transaction costs might be $50 for the apartment application fee.

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gambiting10y ago

I wish - I'm currently renting a house for 1200 pounds/month(so...1900 USD per month) and the agency took $1000 just to take the property off the market("admin fee" - non-returnable, doesn't go towards the deposit, it's just money down the drain really), then 1 month rent as deposit, and 1 month rent in advance. So really, I spent nearly $6k just to start renting a place.

I'm really considering a mortgage, but don't have money for the downpayment. Our mortgage payments would be actually less than what we pay for rent now.

fluidcruft10y ago

Rent pays maintenance costs, too it's just forcibly amortized and externalized. Higher-density housing like apartments and condos do have scale efficiencies reduce per-unit/occupant maintenance costs. But the difference between renting and buying is somewhat apples to oranges if you're comparing renting an apartment to buying a house.

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gambiting10y ago

I'm really considering a mortgage, but don't have money for the downpayment. Our mortgage payments would be actually less than what we pay for rent now.

fluidcruft10y ago

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