▲ | DoctorMckay101 a day ago | |
The interest rate on my mortgage has been below inflation for 5 years now. I'm 7 years shy of paying it fully. I pay around 850€ a month for my mortgage + 110€ monthly community costs + 400€ on property taxes annually. Lets round it up to 1000€ a month. Meanwhile, the average rent around me is about 1150€. If I was renting whilst sharing with other 2 people I could be paying about 400€ and have about 600€ a month for investing, that is true. But that would mean I'd be changing places every 10-16 months, increasingly paying more, and gambling on landing good flatmates. A ton of stress and almost ensured mental health issues. I´d know because that was my life from when I was 18 to when I bought my home at 26. If I wanted to rent my spare rooms I could be racking about 800€ a month - 20-27% set aside for taxes. Always cherrypicking my flatmates and increasing their rent every now and then. However, I wanna live alone for a while, be calm whenever I'm at home. Even if that "math" does not work for you, take into account those 600€ monthly investment would have to compete against my home's value. My property has appreciated about 90% in the last 10 years, practically doubling my potential earnings compared to the original cost. From 300k to 570k on 10 years. There is no way somebody with 0 investing knowledge could pull that off. Renting is just better if you have enough fuck you money to rent whatever you want, whenever you want, with the flexibility of choosing to be alone or accompanied. |