Reply to Question for renters..Aren't you tired of paying someone's mortgage?

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[quote=Anonymous]OP, read Niall Ferguson (Harvard professor of economic history).  For purposes of investment, housing has historically been inferior to multiple other investments opportunities (e.g., passive mutual funds, and even bonds at times).  That's even factoring in the tax relief one gets in the United States.

Similarly, landlords in this thread talking about suggesting renters are suckers and bragging about their bank miss the fact of their opportunity cost.  You could sell your rental property and put the equity from that sale into various investment vehicles.  Again, you've merely chosen one invetment over another--one that historically is inferior to the other.

We're new owners, but we bought because we wanted a consumption object that would give us greatest utility.  We could have bought two new luxury cars, but we put it into a downpayment instead because we believed it would give us greater utility.  Certainly we think our house will depreciate a rate lower than the sedans, but that's not really the point.

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