Truth be told, there is some logic to that. After all, if something breaks in your rental apartment, you just call your landlord. You don't spend money on pricey renovations. Heck, you don't have to pay property taxes. And if you've got enough money for a down payment, why dump that cash into an expensive home, when you could use it to buy something like stocks instead?
Still rather build your securities portfolio than buy a house? "If you have to turn around and pay $1,000 a month to rent somewhere, you may have less available to put into stocks," Flint-Budde points out. "And at the end of the day, if you put some into stocks and some into real estate, you would have diversified your portfolio more." Oh, and for those averse to paying taxes? Don't fool yourself. Even renters pay property taxes. That's often what most of your rent check goes to pay, and your landlord — not you — gets the tax deduction.
OK, so we hear this one a lot from women. Well, interestingly enough, research has found that single women are leaping into real estate. In 2006, they accounted for 21% of home buyers, up from 14% in 1995, and well ahead of single men, who made up only 9%, according to NAR research. Yet, many women confess they are hesitant to buy a home on their home. Shouldn't they be waiting for Mr. Wonderful to come along and sweep them off their feet?
Funny, we hear this excuse more from men. But seriously, there are some meaty issues here. Many people aren't sure they want to commit to a certain city, especially if they are building a career and possibly switching jobs. And despite the fact that we're a nation of debtors, some people perish the thought of taking on an enormous mortgage. Others are worried about the possibility of outgrowing their home, perhaps because they're considering starting a family or having more children.
We like real estate. If you've got a down payment, a stable job and an area you're comfortable living in for years to come, we can't figure out why you don't.