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why do peole say buying is cheaper than renting

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why do peole say buying is cheaper than renting
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>>1841544
They are shills for big banks and realtors.
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because you're putting money towards something you'll eventually own?

Eventually you will not have to worry about paying anything instead of just giving all your money to a landlord every month.
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buying gives you equity
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because you rent what you buy and make a positive income
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Its cheaper cause the interest on the loan is the only "rent" you pay. Its not worth it if you can't afford needing a new roof or furnace or some shit every 5-10 years.
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It's for faggots tied down I'm free to up and move whenever I want risk free
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>>1841544
if you are over 30 (25 but im being nice) and still renting you might as well go ahead and kill yourself
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>>1841734
and insurance and taxes, but this is mostly right.
At least *some* portion of your payment goes toward equity. With renting, you're still paying equity, interest, insurance and taxes for someone else. It's 100% out the window.
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I can only speak for my state (Connecticut), but we are definitely in a renter's market right now. Between house prices, insurance, taxes and going rental rates, even in a perfect scenario the numbers don't work out. I wouldn't want to be a landlord here.
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>>1841549
if people lived for infinite years this would be true, asymptotically you're correct, but a house is not an asset while you're living in it, and you'll waste much more money on taxes and maintenance and mortgage interest than if you simply rented.

try this https://www.nytimes.com/interactive/2014/upshot/buy-rent-calculator.html?_r=0
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>>1841767
Phew, good thing I don't rent. I live at home with my momma :3
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>>1841784
An asset is anything on the top-end of your balance sheet. That includes a house, living in it or not.
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>>1841767
I am 31 and I haven't lived more than two years in a row without moving to a different country for twelve years now; why would I buy an anchor?
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>>1841784
>you'll waste much more money on taxes and maintenance and mortgage interest than if you simply rented

you pay for all of those things too, when you hand over your rent, except you're paying it to maintain the landlord's asset rather than your own
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>>1841822
You won't be paying for a mortgage interest if they own the property. You're also free to move when your contract is up, if you own a house it's a mess.

>>1841803
But a house is a liability, you're paying maintenance and property taxes monthly with no return. and if you don't understand the market well, your houses value can become less than what you owe on your mortgage.
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>>1841784
>>1841803
>>1841544
Here we fucking go yet again with this thread. It's amazing how many times we have this, either needs to be in the sticky or should make a sub board for it already, because:
>nytimes
Gee cause the prices they're going to throw out there sure are going to line up for the rest of the USA. yep a starter home is $250k just like everywhere else sooooo renting is better. Or you know, you could drive 20 minutes out of the city and get 3 times the house for 1/5th of that price. city renters seriously 100% think the world ends on the borders of their city. Have you heard of this thing called an automobile?

Next shitty fallacy coming up from city renters: "I don't know what an inspection or homeowner's insurance is so I only buy houses where 100% of everything in them is broken so houses suck". You actually can negotiate for the seller to make repairs and if not it's grounds to make a lower offer.

Don't remember the website but there was this shitty "infographic" quoting a kitchen remodel and they said it was $100K. Yeah I'm sure if you're a celebrity overspending on purpose just to show off. Where do angry renters get these fucking numbers?

>lol no dude I KNOW a guy, muh 100K cabinets
preliminary "fuck off"
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>>1841821
gee i don't know i guess you're right, why would anyone ever buy their own property, clearly rich people rent that's how they become millionaire landed gentry i bet all the rich people uber carpool everywhere too sharing economy
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>>1841833
You know you can change the numbers on the nytimes chart?

Show me your circumstance that it's cheaper to buy
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>>1841832
Do you know what assets vs liabilities are in the financial world? Clearly not.

An asset is anything that can be converted to cash. You can sell a house and convert it to cash. You cannot sell a liability and get cash(asset) for it. A house cannot be a liability and have negative value. Your mortgage is a liability, maybe that's what you're thinking of.
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>>1841844
An asset gives you returns
A liability takes away your money

a home is a liability unless it's a rental property
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>>1841837
As always this depends 100% on where you live.

>150K pop city
>$75K house
>5 bed 3 bath 2900 sq ft livable
>total cost per month is $800 includes utils, mortgage, 1% property tax, insurance

>cheapest apartment is $500

Now I can rent out 4 rooms at $300 - 400 each, live for free and make $600+ month
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>>1841850
you're renting out 4 rooms of your house, obviously most people are talking about a house for their family to live in.
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>>1841832
>mortgage interest

that is literally a non issue to anyone with even halfway decent credit who has any income to write off, it's not something renters understand but mortgage interest rates basically pay for themselves or at least are no worse than inflation

>You're also free to move when your contract is up, if you own a house it's a mess.

maybe i'm just not experienced to the nomadic nu-male sharecropper lifestyle but to me renting is hell on earth (i assume) and being a property owner is literally a precondition to being a man and not ending my own life out of the shame of failure but hey like i said different strokes for different folks
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>>1841849
Oh, Kiyosaki? No wonder you don't know what you're talking about. His definition of asset does not align with the real world. Nevermind
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>>1841854
>not living in the same place for years makes you a nomadic nu-male sharecropper

>>1841856
i just googled it to give you an infographic

owning a house sucks your money, debate your semantics however you want, unless you actually understand the market buying a house is gambling.
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Why does the shit nytimes tool auto put "rent growth rate" lower than "home growth rate" and also puts investment return rate at 4

shit tool, fake news, fuck off angry rent shits

this is what I call the "future" fallacy.

>Oh see but in just a year the property rate will be 1000% higher you can't PROVE it won't let me cite this one year 50+ years ago when this happened so it will happen again every year after this one... trust me... also the other 49 years didn't happen


Hey guys, there's this county out in the middle of bumfuck nowhere that adds an additional 5% to the cost of the house for their own income tax so we have to take this into account as angry rent shits and say that it will apply for everyone else too so obviously by my shitty hippie dropout math renting is better because of this made up number. Don't ask the name or location of the county, if you do it just means you're trying to hard to disprove me which proves you are a homeowner

fuck off rent shits
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reminder: if you have a mortgage you don't own your home
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>>1841863
I don't think you understand how wrong it is.

Here's another scenario:
You have $10k cash sitting in a bank account that bears no interest. Considering inflation, this money is losing value every year.

Are you going to call this cash a liability?
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>>1841863
Owning a home does increase your expenses, yes. That does not make it a liability.
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As a shitty obese american I continue the societal idea that I shouldn't give a shit about anyone or anything, just like how I don't put oil in any car I use and just drive it til it dies, I don't do any house maintenance either. Therefore by my logic, all cars and houses are shit because hey they keep blowing up or burning down for me within 2-3 years, you can't tell me to care and do proper maintenance because that isn't cool and I am an american. Therefore I lease and rent all vehicles and homes because hey you don't know they won't blow up or burn down tomorrow because I won't put oil in and I keep leaving the gas on... it just shows how cool I am cause I don't give a fuck. Owning cars, houses, or anything is just a "risk" because doing basic maintenance is physically impossible so is getting any form of insurance. I can also just say where I come from insurance is illegal so hey how can you disprove that.

fuck off rent shits
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>>1841877
If you had to pay a fee to keep your bank account, yes. You're not actually "losing money" to interest though, it's just devaluing. Your analogy is closer to if you own a home and the market is getting worse, you're losing value. But you're paying property tax and maintenance fees for something that gives you no returns at all.
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>>1841544
Because math.
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>>1841884
Fees are expenses and have no impact on whether something is categorized as an asset or liability. The definitions are pretty cut and dry, and Kiyosaki's is wrong.

It's very simple: If you were to take everything you owned, and all your debts and list them, as they are valued right this second, do each of those items contribute to your equity/net worth or subtract from it?

Those terms are found on a balance sheet, which is a snapshot of your financial situation. Whether they went up or down since the last snapshot has nothing to do with how they're categorized.
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>>1841863
>>not living in the same place for years makes you a nomadic nu-male sharecropper

meanwhile while you bitch and cry into your hip 2/1 $1400 per month studio apartment you share with four roommates your landlord is sinking the rent you pay him into this "liability"

like being a creditor vs a debtor, being a landowner vs a rent slave is just as much a psychological issue as a financial one, you're going to win at life or you're going to suck. everyone can win if they want but hey some people would rather "not worry about it" and be "free"
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>>1841894
>into this "liability"
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>>1841892
if an asset costs you tons of money and gives you zero return then that's a shitty "asset"

>>1841894
If you actually own the land it's different, most "owners" are just literal debt slaves to their mortgage. When you rent, you don't owe anyone anything. And you seem to think leasing houses isn't a thing, for some reason.
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>>1841850

>having 4 poor people in your house

I'm sure that will all just be fine and dandy
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>>1841911
Yes, it does make it a shitty asset, I'll definitely agree on that, but it's still an asset. Home ownership, where you live in it, is generally considered an opportunity cost. You pay a premium for quasi-tangible freedoms such as being able to modify your living environment to your liking, whereas that's almost impossible if you were renting. All these things are expenses, though. The _existence_ of expenses do not in themselves impact your net worth directly. All they do is limit your growth potential over time.
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>>1841930
Which is the whole argument why it's not worth it, depending on your situation. If you actually want to modify your house, and you have a long term career wherever you live, and your kids go to the local schools and stuff, and you have the cash already to buy the house and not become the bank's bitch, and the market is good so you're not buying some overpriced bubble, then it's worth it.
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>>1841949
>depending on your situation
bullseye

Like I posted here >>1841773
I'm fortunate enough to be able to afford to own my home, but I looked into buying some rental properties in the area and it's just not worth it. The rental prices are too low, and the home prices and taxes are too high. In a perfect world(no repairs, no vacancies) my models came up with a return of less than 3-4%. I'll stick my money elsewhere, thanks hah
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>>1841544
Buying (via a fixed-interest mortgage) is essentially renting for 30 years with the cost locked in.

I.e. your mortgage might be $2000pm and it will be that for 30 years.

However, you might currently pay $2000pm rent, but as that increases each year, even just 1%, in your 29th year you're paying $2650pm. If it were to increase 3% annually, you're ending up paying over $4500 in your final year.

You also factor in tax advantages (in USA) of property tax and interest deductions when owning a home.

It all depends on your life goals and circumstances. I own a home outright, but since I move around a lot I generally rent it out and rent my own house elsewhere. No need to let owning a home anchor you in one place.
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>>1841767
I'm 32...

Recently divorced so the divorce agreement has the exwife owning the house but I get half of the equity which is nice because we've at least got it 20% down, off 100k so about 20k right there but the FMMV is at ~140 so I'm waiting to get about 30k in equity money and then I guess I'll just invest those / or use that money to buy a modest home...

In the meantime I've got to rent...
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>>1841549
>because you're putting money towards something you'll eventually own?

You can do that with renting, it's called saving.

>Eventually you will not have to worry about paying anything instead of just giving all your money to a landlord every month.

Because giving that money to your bank in the form of interest is any different.
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>>1841970
Another good point. A landlord these days likely don't own the property outright. When you pay rent, that is 100% post-tax expense on your part. They take that money, divvy it up into mortgage, insurance, taxes. When they go to file their taxes, they are able to write off everything except for the equity portion of their mortgage payment. This gives them a double advantage. You paid their taxes so they don't have to.
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>>1841913
"Renting is superior" but the moment I offer renting, the renters are automatically poor people. And you as a renter are different how?

I knew a hippie like this, did the same mental gymnastics for drugs. It was always drugs this, drugs that, they should be legal, so many benefits, etc, and whenever we would come into contact with someone new who was high or mentioned drugs it was an instant 180 from hippie and suddenly "I don't talk to people who do drugs they're usually scum". It's almost like you know you're a degenerate.
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>>1842009
renting your own house is different from renting a room in someone else's
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>>1842014
Yep sure is I get to make the lease agreement myself and also don't have to ask anyone's permission.

Anyway guys with the thread over, I have to point out that in these threads the people who own houses always cite what they bought their house for, where, and 3-4 years of local history and if it was a good decision or not. Meanwhile renters keep using this hippie shit circular logic and keep bringing up "this certain situation in the market" or "this one time where renting was better for me"... never get a numerical value, never get a year, never get any information about this "market", never get any information about this portfolio or investments, so we can't make a comparison - which is the entire reason why you're doing this, to de-quantify yourself and just wait for a homeowner to say his number so you can say yours is cheaper. Some videos I just saw cite a 4% "guarantee" by way of bank CD. Again will never say which bank or where is offering this 4% because this is all bullshit statistics. According to bankrate.com (which you are just going to fucking disregard anyway) the last time the CD was 4% was 10 years ago in 2007. But of course you're just going to repeat this pattern of "oh I have this bank somewhere that gives me 4% guarantee" or cite some made up portfolio or investment that you won't show and insist it gives a bigger return.

Entire rent cunt psuedo argument is summed up like this:
>I paid $X for my house
>Oh hehe renting is much cheaper
>Really how much do you pay?
>Hmm dunno but it's less
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>>1842050
The only poster in this thread that mentioned his personal situation in this thread said that it's a better market to rent in for him
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>>1842054
Yup. Better market for renters. I still own. Costs me a shit ton, but I have my reasons and I can afford it. Landlords are getting the shaft right now. If I can't make it work on a spreadsheet there's no way these guys are making shit.
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>>1842063
Again, can only speak for my region(CT). Go 75+ miles out and it may be a totally different story. I'm not interested in long distance landlording.
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>>1842054
I bought a house at 24. I'm 27 now. The house was 189k, with a monthly payment of 1200. The last apartment I rented before buying was 1300. I have 30k of equity in the house right now and have put in some improvements that I believe have increased the value of the home. I'm hoping to pull out an additional 20k on top of that 30k.

I have a yard for my dogs. I don't have to listen to people fuck in the next apartment. Or their fucking TVs. Or their fucking drum sets. My girlfriend pays half my mortgage. I'm not paying someone else's mortgage. Seriously, fuck renting.

Houses have historically held value really well. If you have the means to buy one, do it. Don't buy a new car, save that money for a down payment on a house. Cars just lose value. I drive a 15 year old Jeep and a motorcycle for fuel efficiency.

I'll be moving soon and I plan on buying another house.
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>>1842069
I wouldn't count on home equity staying, but that's besides the point. All the points you are describing are considered a part of opportunity cost, and there is nothing wrong with that if you can afford it. Buying a home as an investment is a meme that expired a decade ago. If you're buying it not for that reason, but for all the reasons you mentioned, then there is nothing wrong with that. I was in a similar situation. Good on you.
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>>1842069
You can lease houses, not apartments only, you know. There's a housing bubble where I live. It'd be stupid to buy a house and pay a mortgage when the house can be worth less than the mortgage in a year. I plan to buy property eventually, when I have enough to pay with cash. I have the means to "buy" a house and get a mortgage now, but it would be very dumb.
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>>1842076
Yeah, this is where it becomes situational. If you think you're in a housing bubble, like my state is, rent. Your landlord hedges the entire risk and you still pay a flat fee before they figure it out.
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>>1842074
Why not count on it? I'd wager a grand that this house will sell for more than I bought it for. Your market sucks, that's fine, but you're just posting repetitive FUD and discouraging people from a good decision. Look at historical housing prices. Hold that shit for 10 years.

Can you go into details why your market is fucked up with numbers? Equivalent rent. Your mortgage. Your costs. Why you can't make it make sense in a spreadsheet?
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>>1841898
I came.
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>>1842098
Don't be butthurt. I've been on this thread a longer time than you have. Go back and read my posts. I'm not your enemy. You're getting angry by lack of context.
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>>1841544
I live in CT. Anything other than something run down with lead paint and not in a nigger infested area goes for 250k+. The taxes on houses in a cheap town are about 7k, in an expensive town they can be upwards of 15-20k. Average is about 9-10k. Coupled with deducted interest payments, insurance, the fees going into buying a home (everyone loves to ignore these on these) and the time spent on maintenance and repairs, buying definitely costs more in the long run than renting. The whole, "muh equity" thing is just putting marginal monthly payments into an asset in which you live. If you're banking on the value going up faster than taxes and insurance, you're living a pipe dream.

That being said I don't want to live next to other losers who rent their whole lives, not be master of my domain, and overall have more space than be connected to loud annoying neighbors. I'd much rather buy for the luxury of it than some quasi investment scheme. If it was truly a wise investment, most housing would be owned by private equity and the vast majority would be renters.
Think of it, if it cash flows with rent and intrinsically is a good investment, the average person would not be able to purchase the asset. The fact that joe-six pack can get a house means the investment overall is bullshit.
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>>1841930
>CT
muh nigga

I can attest to the shitty buyer's market in CT due to the cost of everything. I rented a 1000 sq ft apartment for 1000/month. It was a steal.
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>>1842009
Renting my own apartment where I can live vs sharing common living space with strangers doing the same is vastly different. Those people are probably immature degenerates. Unless one lives in an extremely expensive area to live, having roommates is for college kids and low-grade human waste.
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Rentfags still either won't quantify the costs because it won't work out in their favor or they live in some absurdly overpriced city. Still have a great choice to get a "car" and get any house 20 minutes outside the city.

instead we will just see christfag tier logic and repeating "market", "investments", "assets" etc without saying even one example as to what these markets, investments, or assets are.

Reason why we're having this problem is because we're trying to get you to provide a number to compare it to, but every time we reach that point it's the repeated above buzzwords yet again. That's because you know this isn't feasible and the only reason why this is happening is because contrarianism has run rampant and you always have to be different and go against the norm.
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>>1841544

Rent for 20 years
> $240,000
> At the end you have nothing to show for it

Buy a house, pay off a mortgage in 20 years
> $250,000 home
> +$100,000 in interest
> +$100,000 maintenance, taxes, HOA fees
> Total spending of $450,000

But in scenario #2 you end up with a $250,000 asset, perhaps even more than that, AND you'll never have to pay rent again, AND you are king of your castle with no one telling you what you can and can't do in your home.
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>>1842136
one of my family friends just fled CT to Florida. he's a lifelong democrat so it's really funny, he was like, my values cannot endure these property taxes!

>>1842131
>Think of it, if it cash flows with rent and intrinsically is a good investment, the average person would not be able to purchase the asset. The fact that joe-six pack can get a house means the investment overall is bullshit.

not sure I agree with this point. by this logic joe-six pack shouldn't be able to buy Goldman Sachs shares since they mint money, yet they can. I agree with you though compared to say, stock equity property is a shit investment

keep in mind though that housing, and in particular owning your own home on your own land has many extra-financial benefits. you can have a family there, you can do with it as you please, you don't have to deal with faggots keeping you up all night with music and bullshit, it's worth a lot in terms of mental and physical health, which is related to wealth. how much is a sandwich worth to a starving man - infinite. how much is a nice big house worth to a renting college student, quite a lot
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>>1842144
The average annual cost to own a car is around $6000. I live in an apartment a 5 minute walk from the office so I don't have to spend an hour every day sitting in a shitty box of steel.
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>>1842136
This is how it is in CT. $1/sqft rental on average. The costs are too high. I appreciate you joining in
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>>1842151
preach it. I moved to a nice area. No traffic, yet just outside of my town's lines of commerce. Paid way too much for my house, but it's been worth every penny. OPPORTUNITY COSTS. Learn it
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>>1842131
I just read your post again. You're obviously from CT. We have the same mindset. If you can afford separation, get it. There are some things money CAN buy. We decided to get a home the moment we lived in an apartment. We got out of debt(mostly student loans), own everything, saved, and bought a home. No better way to live.
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>>1841544
My mortgage is five dollars per fortnight cheaper than what my rent was.

(I rented this flat, then bought it off the owner while I was still living in it)
>>
My dad can't afford his mortgage, how can I get him to hand his house over to me?

I don't mind jewing him over, he's probably going to die soon anyway. I have a lot of memories attached to this house.
>>
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>>1842147
And in your example you pay an extra ~$200,000 over 20 years.
If you invested the money in the rent example and made shitty average returns of 5% per year, compounded annually, you end up with $330,659.

In a housing bubble economy this option is far superior. And renting comes with the benefit of being able to move and no risk of going into overdraft/ defaulting on a loan

Next time use your brain before you hit the post button
>>
>not being 'having a lodger' master race
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>>1841849
Someone skipped Introductory Finance.

Rent is an expense, as are mortgage payments and taxes.

The mortgage itself is a liability, any owned house is an asset.

Living in a rented house means you both don't have the liability of a mortgage, but also don't have the asset of owning the home.

Renting is advantageous in scenarios in which your rent is dramatically cheaper than the equivalent mortgage payments (unlikely), or (understandable) you don't have the reserve to keep yourself afloat while trying to sell your house when you move.

So as >>1841767 says, if you're old enough to have a good safety net, there is literally no reason to rent unless you're just lazy.
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>>1219415
Or that renting is simply cheaper in most situations and gives you more options to relocate
Even in >>1842147 he shows it's 210,000$ cheaper over 20 years to rent, which could almost buy a house in cash. With even small returns investing it, you could easily buy a better house than the one he got after his 20 year mortgage is paid off.
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>>1842441
meant for >>1842405
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>>1842288
Get a mortgage on a share of the house. You won't get the whole thing but you can make it look altruistic and he won't be able to screw you over in the will.
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>>1842445

That's a good idea.
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>>1842441

If you relocate and you have a house you can always lease it out.
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>>1842441
The land will accrue value faster than most people's financial market investments will.
Your argument works if you are significantly better at picking stocks than picking a nice neighborhood.
>>
Oh, and looking at it, these numbers are rubbish: >>1842147
$1000 a month will not allow you to rent a $250,000 property.
>>
It greatly depends on which country you live in. In the Netherlands I'd say buying is always smarter on the long run (if you are planning to settle)
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>>1841985
>You can do that with renting, it's called saving.

same risk as buying a house. If you are renting and saving you are hoping that house prices fall or stagnate so you can eventually buy into the market.

Chances are, house prices will rise over time. So while you might be saving over 5/10 years, your savings haven't been able to keep up with rising house prices. Meanwhile, the person that bought a house and chose to take on a mortgage can enjoy the capital gains. With some equity in your house, you are free to do whatever you want. That is wealth.

If you decide to rent and save, sure the market might crash and you may be at an advantage. But if that doesn't happen, then I'm afraid you may miss the boat forever, or settle for a fringe suburb.
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>>1841849
an asset is something you own, hopefully something that will provide you with economic benefit in the future. Do you own a house? yes, so it is an asset.

You should read about basic accounting principles, because it is essential knowledge for every person. You will be far better equipped to tackle the world if you know these things.
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>>1841767

t. flyover
>>
ITT college kids. Buying is great because its cheap 5 to 1 leverage on an asset that rarely drops in value.
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>>1842646
>your savings haven't been able to keep up with rising house prices
> the person that bought a house and chose to take on a mortgage can enjoy the capital gains
AHAHAHAHAHAHAHAHHAHA holy shit mortgage cucks are delusional
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>>1842405
They didn't skip anything. They read Rich Dad Poor Dad, learned finance wrong and now think they're a financial expert. Kiyosaki is a fuckin idiot.
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>>1841544
>Eventually you will not have to worry about paying anything
but that's wrong
>>
>>1842688
>someone didn't read the thread
all i see are a bunch of angry yokels advocating moving out to the west virginian countryside to get a cheap house made of literal garbage

not a single person ITT has given the correct answer as to what is the true superior answer, and that is moving back in with your parents
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>>1842869
Keep telling yourself that
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>>1841832
>and if you don't understand the market well, your houses value can become less than what you owe on your mortgage.
this shit is rare as fuck
>>
>>1842881
Was 2008 that long ago, young grasshopper?
>>
I just closed on my house on Monday and I turn 24 this July.

Feels good, man.
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>>1842395

A...are lodgers sometimes qt but loose women who offer favors for favors, like week pauses in rent?
>>
>>1842910
congrats.

Harder out here in Los Angeles - 1 bd shitbox in a mediocre neighborhood is atleast 800k. Westside you're looking at 1.2m.
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>>1841850
my town population in ontario is about 5k and a 1400 sqfoot house is 450-500k. In toronto, the same house would be 2 million dollars. So go ahead and tell me that it's cheaper to own.
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>>1841544
If you're going to live somewhere for a long amount of time it's probably worth it.

Take for example, my girlfriends mom has been living in the same apartment for close to 30 years. The average rent there for a 2 bedroom is about $2k a month. She's probably not paying that much since she's been there so long (she's had 3 landlord in that time), so let's estimate it at about $1500/month. So over 30 years, that's $540k, over $100k more than if she just bought a 2 bedroom in the same neighborhood now.

Of course, she doesn't want to have to deal with maintenance, so that very well could be a bargain considering they say the average house costs $1k a month to maintain.

Honestly it might depend on where you live too. In NYC rents have been skyrocketing cause of all the yuppies from California/Wisconsin/bumblefuck wherever, so to have that security of not being kicked out (which is actually very hard, having the rent raised on you, or more likely the landlord cutting the heat or water to make you move out, it might be worth it.
>>
>>1842881
>>1842900
Yeah, Canada's collapse is right around the corner, so Ill wait and then scoop up a nice cheap house when the collapse happens. For now I'm just going to rent
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>>1841544
Even regardless of what these guys are saying about the fact you OWN an asset, which is itself pretty great, in most areas monthly rent is always higher than monthly mortgage payments.

On a month-to-month basis, a 750 sqft apartment in my area is anywhere from $900 to $1100 for rent (sometimes more). A condo or townhome of similar size and with similar amenities might cost $800 to $950 a month for a mortgage payment, or even much less if you fork over a down payment bigger than the minimum.

If you DO consider a down payment of 5%, that's probably going to be somewhere between $4k and $6k.

That's about half a year's worth of rent.

So, if someone is going to live here for more than half a year, it's pretty worth it to look in to owning a property. This, of course, changes based on where you live and what the market is like, but it scales fairly close to 1:1. Monthly rent is always going to be higher than the monthly cost of ownership unless the market has imploded or some strange circumstance has occurred.

Another beautiful part about owning property vs renting, as some have mentioned, is that if you own a home, you can always sell it later, which is a luxury not afforded to renters.
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>>1841544
basically ignore everything everyone is saying

buying is gambling, some people win, but a lot of people lose

renting is the safe bet

so choose risk and money, or rent
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>>1843064
also anyone buying right now is a fucking retard who is going to lose
>>
>>1841785
This is the best financial decision I am currently making. I am saving around 600-700€ each month and I am building up my savings and investment portfolio with that money.
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>>1843034
>you OWN a shitty continuously rotting hut made from plywood, foam, and staples, in a burtonesque suburban hellhole with blue collar jesus freaks for neighbors and you get to spend the rest of your life obsessing over your worthless lawn
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>>1842115
Yet, no numbers.
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>>1843209
I'm not going to redo my whole model just to give some anonymous pleb some actual numbers. All I remember was that the returns, even in a perfect scenario, were not appetizing to me. See >>1841958

The spread just wasn't there.
>>
>>1843209
>>1843236
I'm in Connecticut. It doesn't take much Googleing for an outsider to see that almost every market in this state SUCKS. Can thank the liberals for that, they suck everything dry.
>>
>>1843209
>>1842594
>>1842147
>>1843034
I said it earlier, rentfags are unable to provide now or at any time numbers in their or any area. Made up estimates of being able to rent a million dollar home for some absurdly low price don't count. All rentfaggot "information" for what they pay is vague and low, and all "information" for what homeowners pay is vague and high. It's a metric ton of nothing.

We quite literally cannot even have an argument or respond to one another when one entire side has no number to respond and just keeps spouting "yup my way is cheaper". Please stop making these shitty threads.
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>>1843243
Think you were replying to the wrong guy on one of these.
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>>1843166
It's amazing how hard this is to understand for some rent shits

>inspection
>insurance

Both of these are mandatory in most states. also the rental unit totally won't be made out of the same stuff right

Ask the connecticut fag since it was one of the original states, there's probably some 450 year old log houses still standing, and that includes the feet of snow they get every year. How does this work? Well I know this is going to take so much as a rentfag to understand but there is this thing called "maintenance"... I know, being responsible for something you built and own
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>>1843258
Yup. I'm easily spending $10k on my house for upkeep this year. If I were renting the place, it would have just been rolled into my rent anyway. This stuff isn't magic.
>>
Read most of the thread , Has anyone mentioned the fact that If we have mortgage monthly cost > rent monthly cost , so say mort month cost - rent month cost = Z

Invest Z from every month and you can easily beat the gains of the mortgage in the long run ... mortgage is worse for sure. Do yoh want to just be able to say you own something ?
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>>1843268
Again, can only speak for my area, but rental cost is always higher than mortgage cost for an EQUIVALENT home. So your formula doesn't check out.

As an example, my house would probably rent out for about $2500. If it were financed at 4% on a 30-year, the mortgage would be about $1400.
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>>1843278
Not to mention some of that payment is rolled into equity, whereas the rent money would be rendered a complete loss.
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>>1843278
>mortgage cost for an EQUIVALENT home
lol and here we see the biggest, dumbest assumption
why rent a whole house when you only need one bedroom and one bathroom? unless you're willing to go through the hell of being a live in landlord then youre overpaying for shit you don't need

>>1843258
yes apartments are absolutely just as shitty or worse
difference is youre not stuck with something you "own" forever, you can move around to find good pay in other cities very easily or leave when basketball americans invade your neighborhood

>hurr durr you even get to maintain the shitty four hundred year old literal hut you own and I'm seriously trying to imply that's somehow a great thing
yeah and I bet the fescue in your lawn is real green too, pops
>>
>>1843373
That is not a dumb assumption. You could just as easily split a mortgage up between several people and it would still come out cheaper. You are comparing apples to oranges.
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>>1843268
What you're saying is simply false in any healthy market.

>>1843373
And why would you buy a home with so much stuff if you only need one bedroom and one bathroom?

Different folks have different needs and different budgets. Renting can be beneficial to an individual on the short term, or when the market is very competitive and buying property is not an option.

The fact of the matter is, though, he's right. For an equivalent home, buying IS cheaper than renting on a month-to-month basis and beyond. If you only need one bedroom and one bathroom, buy a one bed, one bath condo/townhome/whatever. Nobody is saying that if you rent a small apartment, you should buy a huge house (although for an equivalent PRICE it costs to rent something, you are able to buy more).

Renting is not terrible. If you can cover the costs and don't care that you're paying a premium to not have to look after your property, then okay. Sure. Whatever. It's your money.

But what you're saying doesn't even make sense.
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>>1843380
no, comparing apples to oranges is a separate apartment vs. a combined house with multiple people in it

the comparison to make for an individual is based on needs and wants
so my main point, like in every one of these threads, is that the only really good reasons to buy a house are that you need space for like your side hustle business or much more often for kids
kids is why people buy homes, like minivans
>>
>>1843391
The comparison was cost of monthly rent vs cost of monthly mortgage payment. On the same exact property, the monthly mortgage payment would be(in my example) significantly less. That's just a financial comparison and has nothing to do with subjective "soft" reasons as to why they are not similar.
>>
Look up sunk cost fallacy OP.
>>
>>1843404
The fact you choose to live in an excessively large space and take up lawn maintenance, etc, does not change the hard numbers.
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>>1843373

>you can move around to find good pay in other cities very easily or leave when basketball americans invade your neighborhood

kek this is exactly what I was going to say

add to that:

your neighbour suddenly get loud barking dog/s

your neighbour suddenly starts playing subwoofers or drumkit day and night

your neighbour suddenly becomes an apartment block

all of these things have happened to me in the last 10 years
>>
>>1841784
You live infinite years through your kids you fucking inbred mongoloid.

>but i don't plan on reproducing ever

I know.
>>
>>1842445

What i'm worried about is that he'll sell it to support himself/medical bills he'll inevitably have.

He's lived a life of decadence and will likely have nothing to pass on.
>>
>>1841549
Except you still have to pay taxes.
Lets say you have stupid progeny and they don't continue to pay them after you die, now your money is wasted.
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>>1843513
>You live infinite years through your kids you fucking inbred mongoloid.

You're a fucking moron. Your contribution to the gene pool is absolutely nothing.
>>
>>1843545
I've seen this happen first-hand.
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>>1841544
Because it is??

Think about it. Why take the risk of owning a property and renting it out if you cant make money?

Its kinda the point.
>>
>>1843513
but you dont though, because youre dead
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>>1841803
TRIGGERED.

An assett makes you money olain and simple.

Living in a house praying you can resell at a profit or flip or anything other than rent out at a profit is financial suicide.

Sure u can get lucky.

But your house is not only an asset almost always but its the single biggest fucking liability most of us will ever have.

Where the fuck you getting this information at?
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>>1841833
This guy gets it
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>>1841833
You're the one with the fucking fallacies. Your dumb argument saying houses are cheaper outside of cities applies to rentals as well.
>>
>>1841836
No u dimwitted fucknut their businesses they control own their propety and vehicles and they purpetually borrow against them as a hedge against lawsuit cucks and "muh taxes."

Are u rich or ever known anyone that was and bothered to so much as question it or are u just gonna be a bitter poor cuck and never fucking learn anything?


Jesus fuck you have to be 18 to shitpost in my containment board.


Fucking ree
>>
>>1841844
No newfag. An assett puts money into your pocket.

You plebian keeping up with the joneses structure may sell at a profit and make you money above inflation and there for (may have been) considered an assett but it never actually is unless you have people paying you money to stay there.


Fucks sake i swear im done with u fags...
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>>1841849
So we are not all frogposters and shitcoin daytraders here? Thank u god...

You're gonna go far anon.

See you at the top
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>>1841856
>doesn't align with the real world.
>litteral bros with Presidant Trump and at least the top 10%.

Maybe your real world is different because you are a bitter wage slave.

Dont get me wrong. I am too.

But his books litterealy changed my life.


Or do you have a better idea for me to retire early?

Vause wagecucking 1t years has shown me just how far i gotta go and a fucking circle track to get there...
>>
>>1841863
Even still it can be bro. There is so much shit wrong with the house i bought...

Fucking hell
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>>1841873
Reminder: if you own your home you have a mental dissorder or don't understand asset protection.

Also, you never own your home anyway.
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>>1841877
I WOULD. FUCKS SAKE ANON IT'S NOT EVEN REAL MONEY.

That shit needs invested and beating inflation effeciantly as possible.
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>>1841879
/facepalm...
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>>1841913
Ive had worse.

Trick is to live cheap, hold nothing of value, and trust them little while being bros.
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>>1843648
I read his books, too. They were good beginner books, but nowhere close to solid financial training.

You're showing how primitive your understand is. Take some classes.

>>1843658
I hope nobody ever trusts you to put a balance sheet together. Kiyosaki too tightly couples assets/liabilities to revenues/expenses. Yes, there is obviously a relationship, but when it comes to formal accounting terms, they have nothing to do with each other. There's a reason why statements of income and balance sheets are two completely separate reports. They are inherently incompatible.
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>>1843080
Aparently you don't know my market. Prices been stagnant af and no change for 30 years. Rent howevee is throught the fucking roof.

Ima own 300 houses.
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>>1843670
Meh. Working on it.

His basic bullshit turned me from beyond poor depressed cuck to middle class and climbing.

I know im poor and retarded.

Very soon i will have little to risk tho. 0 debt good or bad and i have about 3k saved up to take for classes. I dont think i even ment to reply to u. Some other cuck here but im not scrolling back up. Gotta go back to wagecucking and meet some retard fb market faggot to tell me their life story and try to jew me on a boat.

The hussle is real.

God i cant wait to be free...
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>>1842900
any other times that its happened?
Not to mention, that was a big problem in the Southeast and Southwest - not the Northeast where properties generally retained their value.
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>>1843064
>but a lot of people lose
its sad that this is the predominant mentality after 2008, because it simply isn't true
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>>1843266
what the fuck are you spending 10k on?
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>>1843556
>>1843513
This is the kind of thinking that will never create wealth through generations. Building an empire takes years, that's what family is for.
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>>1843679
Totally. The books are very accessible, but in that simplification some more advanced things are misconstrued.

If you're working on paying off debt, Dave Ramsey is another good financial "guru". He's also wrong about a lot of things, but his stuff works.
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>>1843698
Maintenance and upgrades.

- Getting 200A electrical installed
- Had some dead trees cut down (just now actually)
- Doubling the size of my deck

Got a whole list.
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>>1843714
how the fuck is that related to renting a place, nice blog tho faggot
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>>1843706
>Caring about the wealth of people who will be as related to me as a stranger walking down the street

https://www.youtube.com/watch?v=lhckuhUxcgA
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>>1843717
What are you even talking about?
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>>1842646
>being in debt
>"that is wealth"
buyfags everyone
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>>1841544
Housing market (bubble) is about to fucking POP with the fed rate hikes

Prepare your anus mortgagecucks
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>>1843674
well most people don't live in podunk no-where land
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>>1843513
But I do plan to have kids, and they can rent or buy, whatever they want. It's smarter to rent for me right now, though.
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>>1843803
And if you're renting it's as good as being in debt that you'll never pay off.

You CAN sell a house if you don't feel like living there anymore.
>>
>>1843857
>and if you're renting it's as good as being in debt that you'll never pay off
what?? I made an agreement with the landlord to rent for 6 months, I didn't borrow any money. I don't owe anyone anything.
>>
> make 75k per year
> starter homes for 350k+

please kill me
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>>1841784
>a house is not an asset while you're living in it
Why do fags like you come to this board?
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>>1843609
>Why do anything we all die
He says, using a website, internet, computer, home, and infrastructure laid by generations of people with an antithetical outlook.
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>>1844059
>website, internet, computer, home, and infrastructure laid by generations
to largely be used by those generations
>hurr muh legacy
SICK KEKTITUDE BREH
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