Quote:
Originally Posted by tworent
Being a full time landlord can all the people against buying please explain how I make a real good living if it’s cheaper to rent then buy?
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Sure.
I live on the top floor of a downtown hirise. The view from my balcony is amazing. I have a 180-degree, 10-mile view of the Susquehanna River, the beltway, Riverfront Park, mountains, forests, downtown, and too many nuances to count. Since there are no hirise condos within an hour's drive of here, this view is not available for purchase at any price. Within walking distance (under a half mile) of my front door, I can name a few dozen bars, restaurants, pubs, and nightclubs. There's a microbrewery (Troegs) just around the corner, and a brewpub (Appalachian Brewing Company) just past that. My favorite steakhouse (Dodge City; incidentally, they'll be featured on the July 6th episode of Restaurant Impossible) is three blocks away. Four blocks in the other direction is an excellent hole-in-the-wall bar with 40+ micros on tap.
I'm across the street from a major medical center. There's a university one block down and three blocks over. Within a three-block radius I also have the downtown library, an IMAX, at least three theater companies, at least two medium-size performance venues, an indoor mall, a few grocers, boutique shops, two gyms, a few hotels, a five-mile-long park along the river, a mini-golf course, a baseball stadium, two major bus depots (one regional, one Greyhound), and an Amtrak station.
As if all of that weren't enough, this entire area is steeped in history. From my balcony I can see the high-water mark of the Civil War, where Confederate scouts reached their northernmost point. I can't walk more than a few feet without encountering a landmark, historic marker, or historically-significant point of interest. Suffice to say, I've got a pretty great location here. Yes, there are townhomes for sale nearby, but none of them met my criteria. All of them required compromises on factors like view, noise, or parking.
If my heat or air conditioning stops working, the landlord fixes it on his dime. If my dishwasher needs replaced, my landlord does it on his dime. If my roof leaks, my landlord repairs it on his dime. If my drain line clogs, my landlord fixes it on his dime. If the river floods and the basement takes on a few inches of water, my landlord fixes it on his dime. When we get a heavy snow and the parking lot / common areas need cleared, my landlord does it on his dime. When the building needs its regular pest control performed (as all city buildings do), my landlord does it on his dime.
I could go on and on, but it all boils down to these two basic facts:
1 - I have an amazing home in an incredible neighborhood.
2 - My home is 100% maintenance-free.
For this, I pay a very reasonable $850 every month (which, incidentally, includes all utilities). I can't buy a decent home in a similar neighborhood for that price, and certainly not one that will include all maintenance for life.
I'm not building the equity that I might build as a homeowner, but there's one other critical point that I haven't mentioned yet: I will very likely relocate in a few years. If not for a different job, then because my city is currently going over a financial waterfall. When I want to move, I either wait for my lease to end or give my landlord a 60-day notice. My worst possible outcome is that I lose my $250 deposit. I won't have to deal with showing my house. I won't be forced into selling my house at a loss. I won't have to become an accidental landlord. I simply walk away.
The one point some people in this thread continue to miss is that I'm paying for the lifestyle and location. In order to become a homeowner, some of that would need to be compromised away. For myself, paying a little extra (and that's debatable) for this lifestyle / location is well worth it.
Look at it another way. When you chose your vehicle, did you pick the one that best suited your needs? Did you go with the style, color, fuel economy, horsepower, drivetrain, passenger & cargo capacity, and warranty that represented the best overall picture? Or did you just get the lowest-priced car you could find?
The former involves paying a little extra to get exactly what you want. The latter makes the most financial sense. Most people don't choose the latter, as evidenced by the fact that we aren't all driving Hyundai Accents.
Home ownership makes more sense for some people. Renting makes more sense for some people. There is no universal "thou shalt always rent / own" that makes unconditional sense for all people in all circumstances. There are some people in this thread (not you, necessarily) that seem to take offense at this notion.
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