Thought I would throw up a few videos.
The first one makes some great points around why renting a home makes more sense then buying one:
Gerald Celente: The Greatest Depression.
It's always interesting to hear from the Trends Research Institute's founder. Gerald discusses a variety of topics here and his trends forecast continues to be quite gloomy.
One alarming sound bite was the fact that the top 10% owns 93% of the assets in this country.
Some great stuff here.
Enjoy!
Part 2
Part 3
2 comments:
Sideshow Bob also went on tech ticker not too long ago this year and said stocks were dramatically undervalued.
http://bit.ly/9MuOj6
The housing debate is not so simple. Jeff not sure about you but when you factor in the same reasons people buy (having kids, being in good areas, near good schools) rents are not dramatically cheaper than purchasing.
Second, at least in our area, I'm not seeing a surge in rental inventory yet.
Third, if you believe the inflationary argument (which I do) then there's a strong probability as ownership becomes more difficult amidst a rising rates environment, my mortgage + all fees will be less than rent, unless I want to sign a long term lease, which is not too different than just buying.
I do think we have too many homeowners, but come on, to blanket come out and say renting makes more sense? His sole reasoning was people shouldn't be putting so much $ into a single investment. Fine. But I don't know where he gets his news, but I believe a big problem is that NO ONE put ANY money down, not that tons of people plodded 500-1.5 million into a property because it was a good "investment". Maybe in Manhattan...
Pfft.
Flip
If you got in early and you can afford your house then you are fine.
Buying NOW with interest rates at these levels is financial suicide because there is now way for it to appreciate because rates will be going against you.
All real estate is local and you make some good points but I think this guy was pretty practical.
I will likely never buy a house again unless I can pay cash for it. The risk reward just isnt there.
I'll rent and have someone mow my grass!
The reality is many people that bought should be lifetime renters because they can't afford it.
I already know we are on the opposite sides on stocks. That what makes a market:)
GL
J
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