My rent is around 1800 euro, if I’d buy this apartment, my mortgage would be around 3000. That’s for more than half a mil. After 30 years I’d have paid off more than a mil.
The company I rent from just got their financing much earlier, and in very big quantities. (Eg it has 100s to 1000s apartments and houses.)
Every year I make more money, every year the place I live is more difficult to buy.
If you lived in America your rent would be 3000 and your mortgage 3000. 10 years from now you would be paying 4000 whilst they continue to pay 3000 or 2000 even if they bought during any of the 4 crashes we have had in the last 20 years.
One key difference between renting and buying is that you can then sell the apartment or house. You can’t claw back rent after being a good tenant for 30 years.
My rent is around 1800 euro, if I’d buy this apartment, my mortgage would be around 3000. That’s for more than half a mil. After 30 years I’d have paid off more than a mil.
The company I rent from just got their financing much earlier, and in very big quantities. (Eg it has 100s to 1000s apartments and houses.)
Every year I make more money, every year the place I live is more difficult to buy.
If you lived in America your rent would be 3000 and your mortgage 3000. 10 years from now you would be paying 4000 whilst they continue to pay 3000 or 2000 even if they bought during any of the 4 crashes we have had in the last 20 years.
True, mortgage does not increase over time. As long as I stay put it is somewhat limited but over enough time that will be a significant factor.
One key difference between renting and buying is that you can then sell the apartment or house. You can’t claw back rent after being a good tenant for 30 years.
True true, I try to invest most of the difference, hopefully that will be worth something too when I need it.