Reply to Anyone decide to rent instead of buy to maximize other investments ?

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[quote=Anonymous][quote=Anonymous]Yep. Equivalent of a monthly mortgage is going into the market and has been for years. For me it’s been bc I’ve moved around and am not committed to staying in one place. I suppose I’d commit if I wanted to stay any place greater than 5 yrs but right now this makes sure I have a huge down payment/nearly a cash purchase price ready to go if I want to buy. So for me - renting is a waste - hasn’t been true.[/quote]

I work with a bunch of guys like this and TBH if I were to do it again, I may have gone down that road.  They’ve given themselves a LOT of career flexibility because they can pick up and move whenever there is a good opportunity without having to worry about selling the house, what if we sell and can’t buy back into the same area if we return etc. A few of them have made a career that involves bouncing from NYC to DC and back.  Because I’m close to a few of them, I’ve gotten to know that they are sitting on 7 figure net worths under age 35 that are completely liquid (no property). They can certainly still buy if they want with a cash/nearly cash purchase if that was their preference.

As much as everyone says the market here has sky rocketed, it is only true if you bought at the bottom, in the exact right area, and exact right house. And even if you did, it’s a house you’re living in so unless you’re willing to sell and move away, you can’t exactly get at that money (absent like a reverse mortgage or something if you’ve paid it off).  Since 2000, the S&P is up 168% even with 2008-2009; unless you chose the absolute right house/location, most houses in this area are not up 168%, so yeah there is something to be said for investing and not buying a home – not to mention all the $$$ that could’ve been used to buy more shares that instead went to HVAC, new roof, landscaping, renovating the kitchen/whatever else etc.
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