Tip to Young Homebuyers: Rent! (or be born in 1946)

How myopic is the following quote – from a study by The Urban Institute, cited initially in the NYT and debunked in the Ecomonitor.com article cited.

“If a person delayed the purchase of a home to age 40 instead of buying at age 30, that might result in a $42,000 loss in home equity by the time she reaches 60, given trends in wealth accumulation over the past few decades.”

Trends in wealth accumulation over the past few decades were driven by Boomers.  Those days are gone.  The party is over. The good ship Aloha has sailed.

Ecomonitor provides some solid rationale for renting, not buying, a home.

via EconoMonitor : EconoMonitor » Bizarre New York Times Article on Lousy Finances of the Young Gives Undue Prominence to Housing as an Investment.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

w

Connecting to %s