- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
re: 5 Reasons Renting Still Beats Buying
Posted on 3/9/09 at 11:03 pm to GeneralLee
Posted on 3/9/09 at 11:03 pm to GeneralLee
quote:
I'll be working for an agricultural private equity firm.
Not related in any way to the question you asked, I'm just curious, but in what capacity?
1
Posted on 3/9/09 at 11:05 pm to kfizzle85
quote:
Not related in any way to the question you asked, I'm just curious, but in what capacity?
I'll probably be starting out as an analyst. I had an internship with them last year.
Posted on 3/9/09 at 11:05 pm to GeneralLee
quote:
I'm 23, no kids, no girlfriend, just me.
quote:
would plan on living in this house for at least 5-10 years
At your age and family situation or lack of, I'd rent. Forget about the money part. Renting will give you flexibility. You are so young, you really don't know what the next 5-10 years will bring.
When I was about your age, I was considering buying a 3 bedroom/2 bath garden home. I decided against it, then two years later decided to go back to school for my masters. Having a house and house note not near the school I attended would have complicated the decision.
This post was edited on 3/9/09 at 11:07 pm
Posted on 3/9/09 at 11:06 pm to GeneralLee
Ah, that sounds cool, congrats. Finance/LSU?
Posted on 3/9/09 at 11:06 pm to TortiousTiger
This is exactly what you said:
Either clarify what you meant or admit that your example is flawed.
quote:
you're just making those numbers up though.
In my case:
You buy a house: 160k
the market goes down, say you lose 50k (extreme)
you rent for five years: ($1400 a month)
80k loss
Losing the 80k in rent is a 100% certianty, but what are the odds your house value goes down 1/3 in louisiana? Not very good.
Either clarify what you meant or admit that your example is flawed.
Posted on 3/9/09 at 11:07 pm to Cash
Well i'm about to finish my masters degree, and there's 0% chance i'm going on to get a PhD, so further education won't be a detour. I do want to eventually have a summer vacation home out in Montana though, but i may have the opportunity to work remotely for this company at some point.
Posted on 3/9/09 at 11:08 pm to Tiger JJ
i dont really understand what everybody else is saying but i think i do...
If...
Home owning fees, expenses, taxes, interest, depreciation, market decline IS GREATER than renting, then one SHOULD rent
Yearly homeowning fees > Yearly rent; then rent
Yearly homeowning fees < Yearly rent; buy
Did I get it? A simple
or 
will suffice
If...
Home owning fees, expenses, taxes, interest, depreciation, market decline IS GREATER than renting, then one SHOULD rent
Yearly homeowning fees > Yearly rent; then rent
Yearly homeowning fees < Yearly rent; buy
Did I get it? A simple
or will sufficePosted on 3/9/09 at 11:08 pm to Tiger JJ
quote:
What the hell could you possibly even think you mean? Forget about "loss of equity". In your example, you said the property value went down from 250 to 180 - that's 70K. That has nothing to do with how much equity you have. And you had to make mortgage payments the whole time it was going down.
well this is what you said.
Posted on 3/9/09 at 11:08 pm to kfizzle85
(no message)
This post was edited on 3/17/09 at 10:10 am
Posted on 3/9/09 at 11:09 pm to GeneralLee
Gotcha.
Posted on 3/9/09 at 11:09 pm to wizard of smart
quote:
Home owning fees, expenses, taxes, interest, depreciation, market decline IS GREATER than renting, then one SHOULD rent
thats the way i understand it...
Posted on 3/9/09 at 11:10 pm to GeneralLee
quote:
Well i'm about to finish my masters degree, and there's 0% chance i'm going on to get a PhD, so further education won't be a detour. I do want to eventually have a summer vacation home out in Montana though, but i may have the opportunity to work remotely for this company at some point.
I would say don't buy. You're only 23 and we're headed into an economic maelstrom. You should be putting a big premium on mobility.
Posted on 3/9/09 at 11:11 pm to GeneralLee
quote:
I do want to eventually have a summer vacation home out in Montana though,
Go buy yourself a piece or property then. That won't tie you down like owning a home will. After you get your ducks in a row, you can still try to find a way to purchase a home, and you might even pay that property off before you decide to do so.
Posted on 3/9/09 at 11:11 pm to TortiousTiger
TT - that example was mine, not JT's. apparently the logic of it is not all there...
...but my math was flawless
...but my math was flawless
Posted on 3/9/09 at 11:11 pm to Tiger JJ
quote:
I would say don't buy. You're only 23 and we're headed into an economic maelstrom. You should be putting a big premium on mobility.
Agreed. As I have learned the hard way recently, mobility...especially when starting your career, is a nice thing to have.
Posted on 3/9/09 at 11:13 pm to TortiousTiger
quote:
well this is what you said.
Just clarify your original example. Because it doesn't make a lick of sense the way it's written.
Posted on 3/9/09 at 11:14 pm to wizard of smart
i hear ya.
If I am incorrect, I'm open to enlightenment.
If I am incorrect, I'm open to enlightenment.
Posted on 3/9/09 at 11:15 pm to TortiousTiger
quote:
If I am incorrect, I'm open to enlightenment.
You are incorrect for a very specific reason: you have to make a mortgage payment every month. That's not included in your example. And if you are claiming that it IS included, then your example is just really stupid.
Posted on 3/9/09 at 11:15 pm to Tiger JJ
quote:
You're only 23 and we're headed into an economic maelstrom.
Uh oh, if it's this bad and we're just heading into it right now and not on our way out.... That's not good. I have thought about the doomsday case where all hedge funds and private equity go tits up if the markets collapse... that would blow, but I think the government would let you bail on your mortgage in that scenario.
Posted on 3/9/09 at 11:16 pm to GeneralLee
quote:
Well i'm about to finish my masters degree, and there's 0% chance i'm going on to get a PhD, so further education won't be a detour.
That was just an example.
In the next 5-10 years you could-
-get married
-have children
-get married to a chick that already has children
-go to work for another company in a different area
-get transfered
-get laid off
-decide you hate your job and change careers(which might require more schooling)
-join the Whale Wars boat
-become a crab fisherman
-decide you want to spend a year traveling while you are young and have little responsibilities
You are 23. Enjoy being free and not tied down while you can.
Page 4 of 11
Popular
Back to top
Follow TigerDroppings for LSU Football News