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Yea, that's true. But I would say that is still better then forking over money into the rent furnace each month right?
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asdfasfasfasfasIt must be different in different places. I went from a renter in one area, to an owner in the same area, to a renter again in a different area in the period of 5ish years (long story).
Rent in the first area was about the same cost for a two bedroom, two bath, 1000 sq ft apartment as the entire mortgage on a 3 bedroom, 2 bath, 1200 sq ft house, including principle, interest, and taxes. The only reason people would rent there is because they don't have the money for a down payment.
When we left that area, we could have become landlords and rented the house out. We could have easily gotten twice the entire mortgage in rental income, but we felt that being a landlord was unethical (especially since we were relatively wealthy for that area, although we made less than the US median family income). We sold the house and broke even.
Now, we live in a much higher COL area. It's true here that renting is much cheaper than buying, but that's because you can't get a SFH for less than about $1.5 million here. My rent on my 1 bed, 1 bath, 700 sq ft apartment is more than twice my mortgage in my previous area. Our incomes have increased, now we make slightly above the median family income. But our leftover at the end of the month honestly went down a ton. If we weren't here to get an education, we'd be gone by now.
Just saying.... As someone who has both rented and owned, I definitely feel more like I'm shoveling money into a fire as a renter. Owning was the best financial situation I'd ever been in.
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