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Scott Burns: The Amazing Arithmetic Of Home Ownership
I concur. Despite mortgage interest and property tax are tax deductible, there are other cost including insurance and repair/upkeep/remodeling to consider as well.
When close family friends of Warren Buffett told him, in 2003, they had purchased a house, they said he had expressed dismay. Later, he told them, "Ah, about that house, don't worry too much; if you live in it until, oh, around 2014 or so, you'll probably break even." And he wasn't far off... although they have yet to break even exactly. So much for home appreciation, as an investment one can count on as an "inflation hedge." @Sven Mortgage interest as a tax deduction. Historically, that hasn't always been the case, and that might not be the case in the future. IMO, that was a political cookie that should never have been handed out.
Read my lips. House is NOT an investment. Certainly not the one you live in. If you truly think it is an investment, then buy another and rent it out and pray real estate does not tank.
Whoever is saying house one lives in is an investment IMHO deserves to be sent to country that has capital punishment.
Comments
@Sven Mortgage interest as a tax deduction. Historically, that hasn't always been the case, and that might not be the case in the future. IMO, that was a political cookie that should never have been handed out.
Whoever is saying house one lives in is an investment IMHO deserves to be sent to country that has capital punishment.