re: WSJ: Wall Street Has Spent Billions Buying Homes. A Crackdown Is Looming.

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Yes, and if they rent for 30 years they will have exactly $0 in rent.

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If you invest the down payment I mentioned above you’d have 700k or so after 30 years, maybe more.

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One of the reasons you own is that you lock in your payment. 7.5% is a lot, but in 15 years your payment is still locked in as the same and is not a lot. In 15 years your rent has still gone up and up and up. In 15 years you have $0 in assets from renting.

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In 15 years you’ll need a new roof, water heater, a/c, deck, flooring, etc.

People drastically underestimate the costs of home ownership and that’s one of the reason so many refinance or get a second mortgage or HELOC, to pay all those expenses.

Most people break even, at best, when owning a home long term. If they truly calculate their cost of ownership.

And your payment isn’t locked in, taxes go up, insurance goes up.