mightybargainhunter wrote:

1. "You'll save a fortune on taxes." True. But the property taxes
will pretty much cancel out any savings you got on the income taxes.


These savings are touted by almost everyone. The mortgage interest
you pay currently counts as a tax deduction. This translates to maybe
20 cents of tax savings on every dollar that you pay. Don't buy a
house just for the tax savings because you'll be paying several times
that in interest!

look at the bottom line... you pay rent regardless, and that goes up.


2. "You're throwing rent money down the toilet."


Some people are advocating that you take your money out of your house
(sell) and rent for a while because housing prices are so high. This
is speculative, but if you have six-figure appreciation on your house
(which my wife's aunt just got after owning her Northern VA house for
only three years!) that covers ten years' renting! It's not always
throwing money down the toilet to rent; sometimes it's good not to own
something and just to lease it.

then after 10 years? youre back to paying rent. if shes planning on
dying before then, she can live it up!



3. "It's one of the few things you buy that appreciate in value."
Assuming that you find someone who is willing to pay your inflated
selling price. Assuming that the neighborhood doesn't go down the
tubes. Assuming that the new house you buy will end costing as much as
you think it's going to (not!). Too many assumptions.


This is true. Things are often riskiest when everyone thinks that
appreciation is a sure thing. Home prices can, and do, go down --
sometimes a lot.

just like everything else. i think were getting close to max property
values now.



4. Maintenance....


Heat pumps are big things to go. It's worth it for us now to continue
our home buyers' warranty -- $300/year with a $50 deductible to
replace the heat pump if it goes.



In the end, I suppose it's a matter of personal preference. But I do
wish my home-owning friends would cut out the holier-than-thou attitude.


Home ownership vs. renting does have pros and cons both sides. If the
hassle of home ownership is too much, then there's no real reason to
buy if you're not ready. You're also exposing yourself to the real
estate market by buying a house, which does have the potential to cost
you a lot of money if for some reason you have to sell in a hurry and
prices are depressed.

In short, it's not cut and dried that home ownership is the best thing
for everyone, and you have to look at your own situation to make a
good decision.

if you arent going anywhere, its better to buy while youre there.