GoFuckYourself.com - Adult Webmaster Forum - View Single Post - What is wrong with buying a car for cash?

xxweekxx · 01-22-2010, 01:12 PM

thats assuming you make 12%/yr on stocks for 30 years in a row..

you are missing a very important part of the math, the fact that the person who DID not buy has to pay rent..

so the guy who basically decided to take the 20k and invest in stocks, will have spent say $500/month on that same house in rent..

so thats $6kyr = $180k in 30 years..

so in 30 years, the guy who bought a house, is paying for it, BUT LIVING in it, hence after 30 years he still has an asset worth a lot more than he paid..

the guy who didnt buy and put the money in stocks, had to pay RENT, so in 30years, he might have made money from stocks, but he also spent a minimum of $200k in rent for that period.. makes sense?

the bottom line is ya im renting now, but when i get cash i'll buy a house...

its simple, everyone has to pay rent.. but at least when im paying mortgage its going towards an asset.. when you are paying rent and u dont own, its basically going nowhere.. so you are dumping your $1k-2k/month rent payment down the drain.. while when you buy you are dumping a large part of your "rent" into an asset..

01-22-2010, 01:12 PM
xxweekxx Confirmed User Join Date: Oct 2002 Posts: 6,780	thats assuming you make 12%/yr on stocks for 30 years in a row.. you are missing a very important part of the math, the fact that the person who DID not buy has to pay rent.. so the guy who basically decided to take the 20k and invest in stocks, will have spent say $500/month on that same house in rent.. so thats $6kyr = $180k in 30 years.. so in 30 years, the guy who bought a house, is paying for it, BUT LIVING in it, hence after 30 years he still has an asset worth a lot more than he paid.. the guy who didnt buy and put the money in stocks, had to pay RENT, so in 30years, he might have made money from stocks, but he also spent a minimum of $200k in rent for that period.. makes sense? the bottom line is ya im renting now, but when i get cash i'll buy a house... its simple, everyone has to pay rent.. but at least when im paying mortgage its going towards an asset.. when you are paying rent and u dont own, its basically going nowhere.. so you are dumping your $1k-2k/month rent payment down the drain.. while when you buy you are dumping a large part of your "rent" into an asset.. __________________ _________________ I am the best Last edited by xxweekxx; 01-22-2010 at 01:14 PM..