GoFuckYourself.com - Adult Webmaster Forum - View Single Post - How is buying a house, a great investment?

kane · 03-10-2007, 05:20 PM

In the end, for most people real estate is almost a kind of "forced" savings account. they buy a house, live it for a long time and then sell it. They sell it for more than they paid for it and have some money in their pockets. When everything is factored in, they didn't make a much of a profit, but they do have cash that they wouldn't have had otherwise.

Here are two examples:
example 1
If you are going to rent a house for $1200 month and live there for 15 years even if your rent never goes up at the end of that 15 years you move out and you get nothing from the landlord except maybe a cleaning deposit. If you buy a house and pay $1200 a month after 15 years the house will have gone up in value and you've paid down the mortgage, you sell it and when you move out you get a nice chunk of change in your pocket. So in the end at least some of the money you have been paying in house payments you get back.

example #2

You buy a house for 150K and live in it until you are ready to retire. When you retire the house is paid off and is now worth 250K. you can sell it and put that money in your pocket or you can live there and your only housing cost is insurance and taxes. If you have rented all this time, you still pay rent and you have nothing of value.

The only way to make a lot of money in real estate is to either buy it and sell it relatively quickly or to buy it and rent it out.

03-10-2007, 05:20 PM
kane Too lazy to set a custom title Join Date: Aug 2001 Location: portland, OR Posts: 20,684	In the end, for most people real estate is almost a kind of "forced" savings account. they buy a house, live it for a long time and then sell it. They sell it for more than they paid for it and have some money in their pockets. When everything is factored in, they didn't make a much of a profit, but they do have cash that they wouldn't have had otherwise. Here are two examples: example 1 If you are going to rent a house for $1200 month and live there for 15 years even if your rent never goes up at the end of that 15 years you move out and you get nothing from the landlord except maybe a cleaning deposit. If you buy a house and pay $1200 a month after 15 years the house will have gone up in value and you've paid down the mortgage, you sell it and when you move out you get a nice chunk of change in your pocket. So in the end at least some of the money you have been paying in house payments you get back. example #2 You buy a house for 150K and live in it until you are ready to retire. When you retire the house is paid off and is now worth 250K. you can sell it and put that money in your pocket or you can live there and your only housing cost is insurance and taxes. If you have rented all this time, you still pay rent and you have nothing of value. The only way to make a lot of money in real estate is to either buy it and sell it relatively quickly or to buy it and rent it out.