Rental Property Insurance Premium
Home Owners-what is your opinion of this: Buying a home is a ticket to financial security is a “scam” per…?
perpetrated on the American people by corporations seeking to keep us
in debt, less mobile and with the storage to purchase all sorts of
needless consumer goods.
There’s a lot of downsides and hidden
costs to home ownership that get lost in the “American Dream”
discussion:
* Insurance premium.
* Property taxes (which usually offset any tax deduction you get from your mortgage interest).
* Maintenance (pipes break, electricity problems, etc.).
* Remodeling costs.
* Utilities
(utilities and maintenance for renters is often reflected in the rental
price, but it’s not reflected in a mortgage when you own).
* Yard work, pest control, etc. (again, rents usually have this built into the price, but mortgages don’t).
* A down payment of at least 15%, which is $90,000 on a $600,000 home.
Closing costs, usually 5% of loan amount, or another $25,000.
I rent.
I need the freedom of not being locked in.
Others find that they want a place that has the illusion of being theirs and thus the trade-offs are supposedly worth it to them. Or, as so many foreclosures make evident, they jump in unaware of how costly an endeavor it is. Kind of like when people have kids and are clueless as to just what that entails. You can ultimately sell a house. But yeah, it’s a trap.
All a matter of perception.
