Why buying a home is usually a terrible investment (vs buying bitcoin).

[Findingnemo]

Comparing apples and oranges isn't fair in the first place.

A house can be both an asset or a liability even if we assume the appreciation of the property's value is too low or reached the threshold value. In my understanding, if you buy a house to live in there it's a liability cause it's not giving you any kind of income but you are paying all kinds of taxes, bills, etc that is why renting a place is better in terms of investment perspective but if you buy a house and lend it for people then it generates revenue which becomes an investment.

[Raflesia]

Although it is usually true that renting is cheaper in some cases than buying the same home, there's a catch.

It's all fine if you are young and want to have the flexibility of rent. But when you get older, you might want to have a place to stay where you know that you won't be kicked out because the owners decided to move in.

Agree with this where indeed when we talk about the problem of renting and buying actually when we are young it is okay when we rent a house just to find a different situation and can move whenever we want as long as we can do it and I have also been in that phase where I rented several houses from one area to another to give something new that I can feel but when we get older, especially after having a family of course it will be a little inconvenient and buying a house (when we can afford it) is the right choice to do.

It is not without reason that when we are older and have a family in the end the consideration becomes greater when we rent a house and as long as we can afford to buy a comfortable residence as a place to live and a place to shelter why not do it because in the end this is clearly an advantage in terms of a different perspective.

[mumang siat]

As a family man with  multiple responsibilities if I compare living in a rented house in a serene and comfortable environment any house I should be renting for the next ten years the rent cost accumulated would probably be sufficient for me to build a three bedroom apartments of mine for my family that would last for the next more than 50 years. In that case I have 40years benefit of no rent paying which amounts to house-security.
 I won't have to wake up the next morning thinking of how I am going to cover for my annual rent as the year  wond down. In as much as I see bitcoin as an asset to hodl it doesn't take away the expedient of house ownership.

 At least they will get a place to live that every year does not need to think about rent, a house in the sense of a place to continue to survive is one of the most important assets that must be owned by every individual, a property that must be prioritized by everyone in owning a house, Bitcoin is one investment and ownership that is very ideal and while a house as a place to live and main activity is also a more important property.

[icalical]

~snip~
oh yeah, I do agree that when you want to settle and grow a family, buying a house is a better option, but that's definitely required a lot of money, so that's why, when we are single and doesn't have much responsibility renting small apartment in the central area of the city is much more reasonable then buying house in a suburb.

Most mortgages these days are for 30 years, so you have to be relatively young to get it in the first place.

If you are in your 40s, 50s, then the chances of even getting a mortgage might start to decline, as you would have to be paying for the mortgage after your retirement age.

I'm not sure what will happen, but clearly things are changing, and home ownership age is increasing.

But at the end of the day, if you are paying for your mortgage for your entire life, then it's almost the same as renting in the end.

~snip~
oh yeah, I do agree that when you want to settle and grow a family, buying a house is a better option, but that's definitely required a lot of money, so that's why, when we are single and doesn't have much responsibility renting small apartment in the central area of the city is much more reasonable then buying house in a suburb.

Most mortgages these days are for 30 years, so you have to be relatively young to get it in the first place.

If you are in your 40s, 50s, then the chances of even getting a mortgage might start to decline, as you would have to be paying for the mortgage after your retirement age.

I'm not sure what will happen, but clearly things are changing, and home ownership age is increasing.

But at the end of the day, if you are paying for your mortgage for your entire life, then it's almost the same as renting in the end.

If you are already old or someone whose really that in 40's on which 30 year plans or mortgage isnt something that would really be approved by banks or any financing or developer in regarding into your unit.
Of course they would really be trying out to secure that they will not be able to get some loses because approving someone whose really that old which most likely they will really be failing out on finishing the contract.
As we do all know that banks wont really be that stupid enough for them to make out that kind of approval. In speaking about investment with Bitcoin or buying up your own house then it will really be just that depending on you on which whether you would really be focusing on buying up Bitcoin instead on saving up for your dream house or you would really be that saving up for  you to buy Bitcoin on which it would really be entirely depends into your preference and plans or liking.

I do really always love the idea on having that renting even if we do say that Bitcoin doesnt exist. Why? There would really be factors on which you would really be needing up to consider
whether you should be taking up the rental path or would be making your own house. If it turns out that it would be practical to leave on an apartment just because your job is really near
or your kids school is nearby in comparing when living on a place which is too far off and having that huge expense to gas then its impossible that you cant really be able to make out such comparisons.

What I meant was renting house when we don't have any responsibility so we can save more money, so later on when we have family we can buy the house in either full-cash, or in short-term installment, like less 10 years. In that case we don't need to pay 30 years of mortgages, but then again, I don't know if it's applicable in other countries but from where I can from it is still doable.

[rhodelmabanal]

Buying or building home is important but it is not an investment you can only live on it but you can't earn money so you will not earn profit on buying home. while in buying bitcoin you will earn by holding on it i believe that there is an earning on it because i see the past price of bitcoin and until today i see the huge development or rising of its price.

[nullama]

~snip~
What I meant was renting house when we don't have any responsibility so we can save more money, so later on when we have family we can buy the house in either full-cash, or in short-term installment, like less 10 years. In that case we don't need to pay 30 years of mortgages, but then again, I don't know if it's applicable in other countries but from where I can from it is still doable.

Fair enough, yes, that might be possible to do... or maybe not.

There's no way to know the price of the houses in the future, and most likely they will be much more expensive than what they are today.

But you're right, in some cases it is cheaper to rent than to buy the same house, and you can invest the difference.

It is still a gamble for your future self to see if you first manage to save enough, and the house prices doesn't grow at a much faster rate, making it impossible.

[Outhue]

I need a home badly right now, things would have been easier if I had my own home, who says Home is a bad investment? You don't know what you are saying, maybe it is bad based on your country but not mine, to rent a home is too overpriced and people are moving out of their comfortable duplex to two room apartment, it is this bad.

I am hoping to finally build a home but I believe it is best if you have the money, don't build a home if you can't afford that home thrice, when you can really afford something you should be able to do it three times, because it is best you use that money to expand your source of income first if all you have is money that can build one house only.

Due to the current hardship in my country people are even selling their houses, I was offered three different houses yesterday in different locations and the money for the homes are cheap, these people regret building the houses, now the want to use the money for business reasons.

[letteredhub]

~snip~
What I meant was renting house when we don't have any responsibility so we can save more money, so later on when we have family we can buy the house in either full-cash, or in short-term installment, like less 10 years. In that case we don't need to pay 30 years of mortgages, but then again, I don't know if it's applicable in other countries but from where I can from it is still doable.

Fair enough, yes, that might be possible to do... or maybe not.

There's no way to know the price of the houses in the future, and most likely they will be much more expensive than what they are today.

Let put aside the rising cost of houses in the future which is certain to happen and then analyze the life of a family man to that of a single man and responsibilities. As a single young man with money it's easier to achieve many planned projects in your life than when you turn a family man with increased responsibility from kids and wife coupled together with that of yours. A single man only has his problem alone to care for as he is not obliged about others problems.

So building your own house as a young man when you can it's better and wisdom than renting waiting for when you get a family before embarking on it. Chances are that you not be able to build that house of your taste if you are lucky to afford building any because at that time your responsibility has tripled

[Ishicryptic]

So
I'm not saying that owning a house is a bad thing, there are certainly benefits to home ownership. It provides you with a place to live, you can borrow against it,
you can pass it down to your kids, etc. If you just want to have a place to live and call your own then owning a house may be a great idea for you, but don't think of it as some kind of
incredible financial investment because it is not as great as you may think.

I think that the reasons that you've given here for owning a home is good enough to see it as a good investment, that is asset that you can hold and pass on to your other people. Taxes and mortgages on homes varies depending on the location and country but for most places mortgages are not meant to tear your pocket, even when you pay the tenament rates to the government the house still belongs to you. Remember that if you don't live in your own house you'll still need to pay rent which is not cheap compared to taxes and mortgages. Having a house as an asset doesn't stop the person from investing in Bitcoin, you can decide to use huge amount of money or the amount that you can afford to loose to DCA and hodl Bitcoin. Bitcoin is a volatile asset and that means that it has a season when you can sale and make profits but real estate always appreciates in value no matter the season.

[nullama]

~snip~
I think that the reasons that you've given here for owning a home is good enough to see it as a good investment, that is asset that you can hold and pass on to your other people. Taxes and mortgages on homes varies depending on the location and country but for most places mortgages are not meant to tear your pocket, even when you pay the tenament rates to the government the house still belongs to you. Remember that if you don't live in your own house you'll still need to pay rent which is not cheap compared to taxes and mortgages. Having a house as an asset doesn't stop the person from investing in Bitcoin, you can decide to use huge amount of money or the amount that you can afford to loose to DCA and hodl Bitcoin. Bitcoin is a volatile asset and that means that it has a season when you can sale and make profits but real estate always appreciates in value no matter the season.

It clearly depends for each person, but I think that owning your own home makes a huge difference when you are older.

Sure, while young you can do anything, rent, move around, couch surf, do whatever. But good luck after you are being kicked out of your rental at say, 70. That would suck.

Also, the amount of money you would be saving by not paying rent after you finish paying your mortgage is massive. Night and day.

[peppa11]

It's true that many people view homeownership as a solid investment, but when you break down the numbers, it may not always be the best financial move. Between mortgage interest, property taxes, maintenance, and inflation, the real gains can be quite small. That's why some argue that investing in Bitcoin, with its potential for higher returns, could be a smarter financial decision. Unlike a house, Bitcoin can appreciate faster and doesn’t come with the hidden costs of ownership. However, Bitcoin is also volatile, so it’s essential to weigh the risks carefully. Diversifying between property and digital assets like Bitcoin might offer a balanced strategy.

[Lanatsa]

~snip~
I think that the reasons that you've given here for owning a home is good enough to see it as a good investment, that is asset that you can hold and pass on to your other people. Taxes and mortgages on homes varies depending on the location and country but for most places mortgages are not meant to tear your pocket, even when you pay the tenament rates to the government the house still belongs to you. Remember that if you don't live in your own house you'll still need to pay rent which is not cheap compared to taxes and mortgages. Having a house as an asset doesn't stop the person from investing in Bitcoin, you can decide to use huge amount of money or the amount that you can afford to loose to DCA and hodl Bitcoin. Bitcoin is a volatile asset and that means that it has a season when you can sale and make profits but real estate always appreciates in value no matter the season.

It clearly depends for each person, but I think that owning your own home makes a huge difference when you are older.

Sure, while young you can do anything, rent, move around, couch surf, do whatever. But good luck after you are being kicked out of your rental at say, 70. That would suck.

Also, the amount of money you would be saving by not paying rent after you finish paying your mortgage is massive. Night and day.

It would really be just that depending into someones approach or wish in life. Who wouldnt be wanting on having their own house? Even myself had been long time on wanting up a house
but i cant really just that able to sustain on paying up that mortgage on which it do usually last 20-30 years contract and this is something that i cant be able to confident assure myself that i could finish it of.
If we do really tend to make out some calculations then we could be able to save up on paying up some rent even for the rest of our lives and basing up on what you have elaborated about getting kicked or lost up that rental house then in todays availability of such rental houses then there's no worries about getting one but of course prices would vary or the rate on which it will really be giving out some hindrance.

In regarding about in torn between investment or making a house then it would really be just that according into your own preference and risks taking. Some people are really that risks takers on which they do have planned on establishing themselves on dealing up with some business or investment before they would be planning on creating their own house on which this one isnt really that a bad idea either. It is really just
that only a few who would really be considerate on taking up such step just because they cant be able to bare up with the risks involved.

[Alone055]

It's true that many people view homeownership as a solid investment, but when you break down the numbers, it may not always be the best financial move. Between mortgage interest, property taxes, maintenance, and inflation, the real gains can be quite small. That's why some argue that investing in Bitcoin, with its potential for higher returns, could be a smarter financial decision. Unlike a house, Bitcoin can appreciate faster and doesn’t come with the hidden costs of ownership. However, Bitcoin is also volatile, so it’s essential to weigh the risks carefully. Diversifying between property and digital assets like Bitcoin might offer a balanced strategy.

We shouldn't reach a conclusion basing our estimates on a single aspect. We are only considering that Bitcoin is more volatile than the real estate industry and we think buying properties is a bad choice or investment, but let me tell you that this is not the right way to think about it. Despite all the expenses and hidden costs you have mentioned, a property can still be pretty profitable if you can maintain it well and if it's in an in-demand location within the city you have bought it.

Real estate business is not easy, not everyone can get into real estate because first of all, it requires a large amount of money for one to get started, secondly, it requires way more knowledge and experience about the industry than one might need about the cryptocurrency industry before investing in Bitcoin.

Those who know the real estate industry understand that Bitcoin might have the potential to provide higher profits in a shorter period. Still, you can't ignore the fact that Bitcoin's price drops as well whereas the real estate market tends to keep growing in terms of value over time. So it's not a terrible investment if you know what you are doing.

[OgNasty]

Sure, Bitcoin has outperformed everything else so you could say literally anything is a horrible investment compared to Bitcoin. However, Bitcoin isn’t a house that you can live it. It won’t provide you happy memories of Christmas mornings or Thanksgiving dinners. So it is easy to only look at the financial aspect, but you only get one life and the goal isn’t to die with the most money.

[LibertyMask]

I'm interesting in make low cost house, like did Elon Musk in USA. I think that it a great business in the short run.

Anyway, invest in bitcoin also is a great idea, but is that thing that all the world make.

[Onyeeze]

 I don't know if I have commented in this thread, but nevertheless let me make my views of comparison between buying of house and investing in bitcoin, two things is involve in this situation, it's neither you understand the kind of investment you are into, for me I will prefer bitcoin because when you invest in bitcoin for long-term, bitcoin price might increase twice or double up two times of what you can use and purchase a house, despite that land increase or appreciate as bitcoin price may appreciate in future, but I know that will be more comfortable if I invest in bitcoin, because during the time I want to sell my bitcoin I will not need agent to my bitcoin but property like house you will need agents to sell your house and it will delay

[nullama]

~snip~
It would really be just that depending into someones approach or wish in life. Who wouldnt be wanting on having their own house? Even myself had been long time on wanting up a house
but i cant really just that able to sustain on paying up that mortgage on which it do usually last 20-30 years contract and this is something that i cant be able to confident assure myself that i could finish it of.
If we do really tend to make out some calculations then we could be able to save up on paying up some rent even for the rest of our lives and basing up on what you have elaborated about getting kicked or lost up that rental house then in todays availability of such rental houses then there's no worries about getting one but of course prices would vary or the rate on which it will really be giving out some hindrance.

In regarding about in torn between investment or making a house then it would really be just that according into your own preference and risks taking. Some people are really that risks takers on which they do have planned on establishing themselves on dealing up with some business or investment before they would be planning on creating their own house on which this one isnt really that a bad idea either. It is really just
that only a few who would really be considerate on taking up such step just because they cant be able to bare up with the risks involved.

Yeah, I guess it also depends on the country that you are living.

Some countries have a huge home ownership like China, at 96%, whereas Nigeria is at 25%.

Here's the data: https://en.wikipedia.org/wiki/List_of_countries_by_home_ownership_rate

I think it's important to quantify also the amounts involved, because it might be extremely expensive and therefore you would be pretty much in the same situation as renting.

[dumbymamby]

If you don't owning a house, you will saving your money to buy that house. But if you already have it, you can buy another thing for the investment. It is not be a problem if you buy a house as your investment but you must think that a house needs maintain and the cost sometimes will be higher if no one live in that house. You need to think about the inflation that will need money to pay. Maybe you can think to have the other investment such as Bitcoin or gold so you can allocate your money in the right thing. If you buy a house because you want to rent that house, that can be your additional income because you can earn more from that house.

[Baki202]

As a family man with  multiple responsibilities if I compare living in a rented house in a serene and comfortable environment any house I should be renting for the next ten years the rent cost accumulated would probably be sufficient for me to build a three bedroom apartments of mine for my family that would last for the next more than 50 years. In that case I have 40years benefit of no rent paying which amounts to house-security.
 I won't have to wake up the next morning thinking of how I am going to cover for my annual rent as the year  wond down. In as much as I see bitcoin as an asset to hodl it doesn't take away the expedient of house ownership.

That is one of the essentials of owning a house you will be free from paying rent and have less expensive to spend on because you can even start a mini farm in your yard but I don't think you can do that in an rented apartment, and you have to play by the rules of the landlord, and the landlord can even decide to increase the rent and you won't have a choice than to pay, and after years of staying in a rented apartment the money is going to be equivalent to building a house and I have seen people go for smaller houses so that they will be able to actually save in building or even buying their own house. And even when you are no more your children will still inherit the property they can choose to keep or even sell. Having a house is also a good and it is know as an asset, and when you invest or even trade you might get enough money from it,  to even buy a house that is the whole advantage of investing so the two is good and anyone you go for first is also not a bad idea.

[nullama]

If you don't owning a house, you will saving your money to buy that house. But if you already have it, you can buy another thing for the investment. It is not be a problem if you buy a house as your investment but you must think that a house needs maintain and the cost sometimes will be higher if no one live in that house. You need to think about the inflation that will need money to pay. Maybe you can think to have the other investment such as Bitcoin or gold so you can allocate your money in the right thing. If you buy a house because you want to rent that house, that can be your additional income because you can earn more from that house.

The most important thing about this that many people seem to forget, is that you are going to save so much money once you own it.

You will not have to pay either rent or mortgage, and because that is usually the largest expense it means you will have so much more money to invest.

If you are rich already you might get away with renting, as long as you already own some other property that you can move to if needed.