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Only 51% See Buying A Home As Family’s Best Investment
Rasmussen Reports ^ | April 20, 2011 | by Scott Rasmussen

Posted on 04/20/2011 8:43:37 AM PDT by library user

~ EXCERPT ~

The latest Rasmussen Reports national telephone survey of American Adults shows that 51% now believe buying a home is a family’s best investment. That’s down from 55% in March and from 73% in February 2009.

Only once before - in August of last year - has the belief in home ownership been this low.

Twenty-five percent (25%) of adults do not think a home is the best investment for families, while another 23% are not sure.

Just 11% of all Americans say now is a good time for someone in their area to sell their house, showing little change over the past several months. Seventy-two percent (72%) say now is not a good time to sell in the area where they live. Seventeen percent (17%) are undecided.

(Excerpt) Read more at rasmussenreports.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: homeownership; homes; investments
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The latest Rasmussen Reports national telephone survey of American Adults shows that 51% now believe buying a home is a family’s best investment. That’s down from 55% in March and from 73% in February 2009.

From 73% right after 0's inauguration to 51% now. 22% drop - Muchas Gracias, Dear Leader!

1 posted on 04/20/2011 8:43:41 AM PDT by library user
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To: library user
Only 51% See Buying A Home As Family’s Best Investment

Yeah, your moneys better spent on nice salon nails, cell phones and flat screen tvs.

2 posted on 04/20/2011 8:45:37 AM PDT by Puppage (You may disagree with what I have to say, but I shall defend to your death my right to say it)
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To: library user

I have ALWAYS thought that people who buy a house as an “investment” were pretty D!MN STUPID. Ya buy a house so that you, your family AND your stuff have a place to hang out, THAT’S IT, NO MORE!


3 posted on 04/20/2011 8:46:36 AM PDT by US Navy Vet
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To: library user

Owning a home has always been an American dream, and one of the best things a person can do to attain financial assets. Now, thanks to the Democrat destruction of the housing market, that’s no longer true for a large number of citizens.

Throw the bums out in 2012...


4 posted on 04/20/2011 8:46:40 AM PDT by American Quilter (DEFUND OBAMACARE.)
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To: Puppage

I’ve owned 3 homes and never made a dime off any of them. That doesn’t mean I spend my time in nail salons.


5 posted on 04/20/2011 8:47:02 AM PDT by miss marmelstein (.)
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To: Puppage

with all the workers in govt making millions, they should ask the same about the second or third home

/sarc


6 posted on 04/20/2011 8:47:26 AM PDT by SF_Redux (Sarah stands for accountablility and personal responsiblity, democrats can't live with that)
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It’s not an investment, it’s a durable consumer good.


7 posted on 04/20/2011 8:47:39 AM PDT by Milhous
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To: library user

86% believe the best investments are measured in caliber.


8 posted on 04/20/2011 8:47:43 AM PDT by EGPWS (Trust in God, question everyone else)
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To: US Navy Vet
I have ALWAYS thought that people who buy a house as an “investment” were pretty D!MN STUPID. Ya buy a house so that you, your family AND your stuff have a place to hang out, THAT’S IT, NO MORE!

How DARE you speak such heresy?! Go back to the TEA party, you knuckledragger! ;-)

9 posted on 04/20/2011 8:49:06 AM PDT by Gondring (Paul Revere would have been flamed as a naysayer troll and told to go back to Boston.)
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To: miss marmelstein
I’ve owned 3 homes and never made a dime off any of them. That doesn’t mean I spend my time in nail salons.

You entirely missed the sarcastic point.

10 posted on 04/20/2011 8:49:27 AM PDT by Puppage (You may disagree with what I have to say, but I shall defend to your death my right to say it)
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To: US Navy Vet

Its my home. I’ll die here unless I move to the north.


11 posted on 04/20/2011 8:50:38 AM PDT by cripplecreek (Remember the River Raisin! (look it up))
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To: library user

Beautiful. As this number drops, I will know we are reaching a bottom. People always see in hindsight, so people will be completely caught off guard by a housing recover. I’m not saying it will be soon or strong. I’m simply saying that group think is always wrong. Just as the group think concurred that “house prices always go up” a year or two before the housing bubble collapsed, so the group think will concur that “housing always sucks” a year or two before the recovery.

People aren’t stupid but they sure act that way much of the time.


12 posted on 04/20/2011 8:50:46 AM PDT by Freedom_Is_Not_Free (Don't confuse Obama's evil for incompetence.)
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To: library user

A home should be for a roof over your family’s head, not for profit speculation based on federal reserve induced monitary bubbles.


13 posted on 04/20/2011 8:51:45 AM PDT by ScottfromNJ
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To: Puppage

“Yeah, your moneys better spent on nice salon nails, cell phones and flat screen tvs. “

At least you own those :). You have to pay rent to the government on ‘your’ house, or they sell it to get their taxes. And of course if the grass is 1/8th of an inch longer than the latest specs they might even arrest you.


14 posted on 04/20/2011 8:52:16 AM PDT by mewykwistmas ("The last time the French asked for 'more proof,' it came marching into Paris under a German flag.")
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To: library user

If they get rid of the mortgage-related tax deduction, the benefit of owning over renting substantially decrease.


15 posted on 04/20/2011 8:52:38 AM PDT by ClearCase_guy
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To: library user
There are many landlords who are willing to increase their net worth to accommodate people who don't want to own.
16 posted on 04/20/2011 8:52:50 AM PDT by HereInTheHeartland (Yes We Can, have smaller government)
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To: library user

So what is a family’s best investment? Hiring a K Street lobbying firm to try and keep the government off their a*s?


17 posted on 04/20/2011 8:58:10 AM PDT by Buckeye McFrog
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To: Puppage
Yeah, your moneys better spent on nice salon nails, cell phones and flat screen tvs.

A home is not an investment. It is a place to live. If you think that housing prices are going to get anywhere near the highs in the next 15-20 years, you are crazy. Inventories are massive. That leaves a lot of home sellers that bought in the last 6 years screwed. I am in the Real Estate business and this investment idea is one reason why the housing market is in the toilet. Pulling from lines of credit on your house to put landscaping and granite counter tops made peoples investment in their homes far more than it's actual worth. That is why so many are upside down now.

For many, salon trips and a flat screen would have been far better investments than installing the heated kitchen floors.

18 posted on 04/20/2011 8:59:32 AM PDT by Lazlo in PA (Now living in a newly minted Red State.)
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To: library user
I'm currently building a home, a very nice one, here in Colorado. Lived & owned homes in some very high end zip codes in this great country of ours, this is our first time to build. Although it's highly unlikely we will make a profit if we sell this home at some point in future, it's not a concern. Our building experience has been a good one, we have a excellent general contractor and we are pleased to have helped the local economy. Many of the people who have worked on our home have made it a point to thank me for the work. They appreciate it and hopefully it will help hold them over ‘till building picks up again.
19 posted on 04/20/2011 9:01:54 AM PDT by BluH2o
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To: library user; wmfights; P-Marlowe

Owning your own home is still the best investment because it’s rent-free living in a nice, spacious, known location once it’s paid off.

To rent a place of equal quality would probably cost most of us in the neighborhood of 1000+ per month. Once paid off and near the end of one’s working years, NOT having that payment each month will be the equivalent of an annuity paying each month a thousand bucks, which is what you’d have to pay to rent. (More with inflation.)

How much money do you have to have banked to draw a 1000 a month for up to 30 years? Just simple math without accounting for inflation says it has to be in the neighborhood of 360,000 dollars.

Owning a house is the equivalent of having something like a 300,000 dollar annuity when you retire.


20 posted on 04/20/2011 9:02:21 AM PDT by xzins (Retired Army Chaplain & proud of it: Truly Supporting the Troops means praying for their Victory!)
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To: Lazlo in PA
Note also the issue with job instability. I am not convinced that we are going back to unemployment rates of 4.7%. If you bought a house in Florida or California or Michigan, you may have a hard time finding a job.

Now, if you could pick up and move to TX or some other more vibrant state, then getting a job may be easier.

But renters can move to new states a lot more easily than "home owners". So, owning a house is not much of an investment, and it can be a real ball-and-chain if you need to make changes in your life.

21 posted on 04/20/2011 9:03:45 AM PDT by ClearCase_guy
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To: Puppage

Sarcasm can be extremely hard to read in a post. What IS your point?


22 posted on 04/20/2011 9:05:55 AM PDT by miss marmelstein (.)
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To: library user

The only thing worth investing in right now is food, medicine, guns and lots of ammo.

LLS


23 posted on 04/20/2011 9:06:36 AM PDT by LibLieSlayer (WOLVERINES!!!)
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To: All

I’ll never forget the first time I heard the word “flipped” applied to a house. It stunned me that people would actually buy a home with no intent whatsoever to live in it.

Housing’s “Greater Fool” ploy died the day that banksters refused to become bag holders.


24 posted on 04/20/2011 9:08:10 AM PDT by Milhous
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To: HereInTheHeartland
You Betcha, you just can't help stupid. What they are missing in all this, that renters are buying the home, and for them it will never be paid for.lol

My renters have paid for all 7 of my houses, plus my personnal home, no house payments now on any of them.

Got to live & pay somewhere, may as well OWN it. The investment part is not how much you make on it, it is a matter of living rent free, getting it paid for and coasting into retirement and old age,and leaving something to your children. That is the investment, but no trying to fix stupid, just take advantage of it. Invest in rentals.

25 posted on 04/20/2011 9:10:02 AM PDT by annieokie
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To: library user

If you buy a house reasonable for your means and needs, don’t pay top dollar at the top of an economic cycle, and don’t finance more than 20 years, it is still an economically sound decision. If you buy and pay it off expediently, you eventually are able to quit paying rent.

Too many people buy or build far more house than they need, finance it for 30 years, and become a slave to their home. High dollar homes also subject you to more ownership risk from price declines. Buy what you need, pay for it, and be done with it.


26 posted on 04/20/2011 9:21:40 AM PDT by RatRipper (I'll ride a turtle to work every day before I buy anything from Government Motors.)
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27 posted on 04/20/2011 9:22:33 AM PDT by TheOldLady
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To: annieokie

I used to agree with you, but I’m starting to question our mutual “old school” values. Inflation will squeeze the life out of “mom and pop” landlords. Inflation will effectively reduce a $1,000 per month rental income to $100 and cause maintenance costs to skyrocket.

We live in an immoral world that goes out of its way to torment virtuous people.


28 posted on 04/20/2011 9:26:34 AM PDT by Milhous
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To: US Navy Vet

I have ALWAYS thought that people who buy a house as an “investment” were pretty D!MN STUPID. Ya buy a house so that you, your family AND your stuff have a place to hang out, THAT’S IT, NO MORE!

<><><><><><><><><><><><><

Hilarious.

Yet another example of erroneou binary thinking. A house is the roof over your head, while, AT THE SAME TIME, an investment. Maybe a good one, maybe a bad one. It’s not an either/or situation by any stretch of the imagination.

And I have to say, someone who buys a home without any thought to the nature of the investment is pretty D!MN STUPID.


29 posted on 04/20/2011 9:30:36 AM PDT by dmz
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To: ScottfromNJ

True, but nobody treats a home purchase the same as a car purchase where you know that a quarter of the value is gone as soon as the car leaves the lot.


30 posted on 04/20/2011 9:32:49 AM PDT by dfwgator
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To: ClearCase_guy

I hope they do get rid of the mortgage deduction and just lower rates across the board.


31 posted on 04/20/2011 9:35:31 AM PDT by Retired Greyhound
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To: library user

Frankly, I would go with Gold and Silver if I could. In fact, I am beginning to wish that I had the means to become an ex-patriate. The Hussein Clown Posse is destroying the country.


32 posted on 04/20/2011 9:37:08 AM PDT by Lysandru
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To: Milhous
Then the rent will become $3000 per month, remember you got to live and pay for it somewhere.

Owning property is still the BEST advantage anyone has.

"Old school values" ???? Those values are what has established America, and are what we are all fighting for, at least I am. Old school values equals WISDOM over Stupidity.

As for me and mine, Home ownership is always preached, it's working for them. Your on your own, and we will always depend of that kind of thinking to be able to continue to Rent our homes out.

33 posted on 04/20/2011 9:41:56 AM PDT by annieokie
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To: Freedom_Is_Not_Free

Please remember all real estate is local. The RE market in northern Virginia, Washington, DC area MAY have already bottomed. However, it may not bottom out in Detroit for years. Phoenix may be a good investment right now based on demographics. Western North Dakota has been going up because of its oil based economy. Charlotte may have already bottomed out but Raleigh may still go lower. NH will bottom out before RI & CT.
Keep in mind that people are generally moving south and west. They are also moving to where the jobs are in the lower tax states like NH over MA.


34 posted on 04/20/2011 9:43:00 AM PDT by woodbutcher1963
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To: library user

Buy low, sell high.

Since prices have come down so much it probably is a good investment now if you can negotiate a good price.


35 posted on 04/20/2011 9:53:12 AM PDT by Kenny500c
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To: Lysandru
I am beginning to wish that I had the means to become an ex-patriate.
It's rather painful to restructure one's when life to survive an immoral society. Especially if one has a large extended family. I imagine it's slightly similar to the conundrum faced by German Jews before the genocide started.
36 posted on 04/20/2011 9:56:55 AM PDT by Milhous
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To: American Quilter

But owning a home is still the best way to make sure that you always have a roof over your head. If you just figure out what that is worth TO YOU, and pay only that much, then it really doesn’t matter what the housing market does.

It is an “investment”, but not to make money, but an investment in future lodging. Just as you might buy other capital assets now because they seem inexpensive, so you have them over the long haul.

At this point, I kind of wish I was organized enough to buy long-term food items because that’s another way to take money you have saved now and ensure that inflation doesn’t kill you later. Plus, while government could likely figure otu a way to steal your money later, it is unlikely that government is going to figure out to round up people’s stocks of food, clothing, and other basic materials.


37 posted on 04/20/2011 10:06:01 AM PDT by CharlesWayneCT
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To: Gondring

Read now:


38 posted on 04/20/2011 10:13:56 AM PDT by gura (If Allah is so great, why does he need fat sexually confused fanboys to do his dirty work? -iowahawk)
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To: CharlesWayneCT
long-term food items because that’s another way to take money you have saved now and ensure that inflation doesn’t kill you later
Mormons typically excel at keeping a year's worth of food on hand. The Alpha Strategy also does a fair job of exploring food and consumables as a form of savings.
39 posted on 04/20/2011 10:19:18 AM PDT by Milhous
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To: xzins

“Owning your own home is still the best investment because it’s rent-free living in a nice, spacious, known location once it’s paid off.”

It’s not rent free when you have to pay property taxes every year.


40 posted on 04/20/2011 10:52:13 AM PDT by SVTCobra03 (You can never have enough friends, horsepower or ammunition.)
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To: ClearCase_guy
If they get rid of the mortgage-related tax deduction, the benefit of owning over renting substantially decrease.

I think all money paid as rent should be tax deductible. Not only would people be able to afford nicer places, but they'd have money to spend on other goods.

41 posted on 04/20/2011 10:57:44 AM PDT by Gondring (Paul Revere would have been flamed as a naysayer troll and told to go back to Boston.)
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To: annieokie

Yes...renters are being taxed extra to subsidize those with money enough to own. It’s regressive.


42 posted on 04/20/2011 10:59:09 AM PDT by Gondring (Paul Revere would have been flamed as a naysayer troll and told to go back to Boston.)
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To: SVTCobra03

It’s rent free. It’s just not tax free.

My taxes are about 2 grand a year for about 20 acres and a house.

That’s far better than a 2000 dollar payment each month.

That said, there should be a law that any homeowner who has continuously lived in his home for a dozen years or more who reaches age 72 should no longer have to pay property tax.

An old person should not lose their dwelling purely because of failure to pay property tax.


43 posted on 04/20/2011 11:04:32 AM PDT by xzins (Retired Army Chaplain & proud of it: Truly Supporting the Troops means praying for their Victory!)
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To: CharlesWayneCT

I always enjoy your intelligent, well-though-out posts, Charles. And you make a good point, as always. I’m just relieved I bought my house during a slightly depressed market 18 years ago, so I didn’t pay more than it was intrinsically worth.

It’s a great feeling of security to know my house is paid for and can’t be taken from me, and I intend to stay here until I can’t manage the work necessary to maintain it any more. Another 20-30 years, at least!


44 posted on 04/20/2011 11:39:46 AM PDT by American Quilter (DEFUND OBAMACARE.)
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To: xzins

Ancient Rome coined the word “suburb” when Romans abandoned property to escape onerous property taxes. To illustrate how bad it got, at one point Rome gave condemned men the option of either dying or assuming ownership of property.


45 posted on 04/20/2011 1:17:33 PM PDT by Milhous
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To: library user

I bought a house to live in. I doubt many Americans are qualified real estate investors, so when they lose their ass on property “investments” I couldn’t care less. This idea that a home is an investment is stupid and dangerous.


46 posted on 04/20/2011 1:20:56 PM PDT by CodeToad (Islam needs to be banned in the US and treated as a criminal enterprise.)
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To: xzins; library user; wmfights; P-Marlowe
Owning your own home is still the best investment because it’s rent-free living in a nice, spacious, known location once it’s paid off.

I couldn't disagree more.

Never buy a home as an "investment". Buy a home because that's where you want to live. The value of a home is dependent on a lot of factors beyond your control. Where are you on the demographic curve when you buy? What are interest rates when you buy? Are jobs plentiful in the area? Are the schools good quality? Also, you never really own it, try not paying the real estate taxes and see what happens.

The Case-Schiller index just showed another 5% decline in median home prices.

The vast majority of the "smart" investors are upside down with the "best investment" they made. One of the key factors in home pricing is the median income in the area. Wages are flat, or declining, which means the % able to buy is in decline as fast as the home values are declining.

IOW, buying a home is a TERRIBLE investment. It's only smart if the monthly cost is 38% or less of your income and it's where you want to live.

47 posted on 04/20/2011 2:21:08 PM PDT by wmfights (If you want change support SenateConservatives.com)
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To: American Quilter

Thank you for your kind words.

I bought my first house in 1982, and replaced it in 1996, so I’ve missed all the hoopla. I did refinance late last year to take money out, so I still owe a bit (no more than when I first financed in 1996 though). Essentially I keep paying off my house and then refinancing it again. But this one was only for 10 years, so my end date is still earlier than my original 30-year.

The reason I refinanced was twofold. First, I wanted to populate some college funds to get up-front tax deductions before and in case they decided to terminate the program. Second, I figured if there really was inflation, the money I borrowed but was invested would probably keep up, and I’d be paying back with cheaper dollars.

But my loan is still less than half the current value of the house, because I wouldn’t want to risk being “underwater”.


48 posted on 04/20/2011 2:30:42 PM PDT by CharlesWayneCT
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To: wmfights; P-Marlowe

You forget the simple fact that you have to live someplace, and you are going to be paying the rate someone else needs to make in order for them to pay their bills of owning property.

There’s no getting away from it Wm.

“Investment” in terms of “capital gain” is not the issue. Investment in terms of financial security is something else entirely.

Since people have to have someplace to live anyway, then they will be paying someone for living space. NOT having that expense at all is a whole lot cheaper than having it.

As I said, owning your own home is like having an annuity that pays X amount each month. That’s not to say that your annuity made a good return all those years, but it is saying that at the end of the term, it will be yours.

Property taxes don’t approach the cost of property tax + payment. Rest assured, though, that ANY rent will include all of the costs of the property owner...to include his property tax.

Owning property is security. That’s why the call it REAL estate.


49 posted on 04/20/2011 3:04:59 PM PDT by xzins (Retired Army Chaplain & proud of it: Truly Supporting the Troops means praying for their Victory!)
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To: xzins
“Investment” in terms of “capital gain” is not the issue. Investment in terms of financial security is something else entirely.

If the term "investment" is being applied it's going to be a capital gain (goes up/down in price) or a cash flow producing asset. The term should never be applied to home ownership. It deludes purchasers into thinking a house is something it's not.

Since people have to have someplace to live anyway, then they will be paying someone for living space. NOT having that expense at all is a whole lot cheaper than having it.

Not true. The loan may be paid off freeing a % of your income for other things. However, you will have property taxes, insurance, maintenance and utilities. Also, as things become outdated they will need to be upgraded in order to maintain value.

The renter is not tied down to a specific property so when the costs go up to pay for the previously mentioned items they can move to a newer property with more amenities.

Property taxes don’t approach the cost of property tax + payment.

It all depends on location and the quality of govt in the area.

50 posted on 04/20/2011 3:27:04 PM PDT by wmfights (If you want change support SenateConservatives.com)
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