Posted on: 09-07-09 12:48:17
In the present economic scenario, purchasing a house/condo or renting, which one is better? This might have been answered by our desis long time ago, but in the present economic situation, the equation changes a lot!!!! I have seen that lot of people desperate to sell their homes due to job losses. Is it good time to buy a house or wait for some more time. Or alternatively, invest in India rather than here and stay in rented homes here and move back to India, once you retire. Any new ideas/ inputs welcome with our desi's experiences?
Quote:
Originally posted by smart desi
In the present economic scenario, purchasing a house/condo or renting, which one is better? This might have been answered by our desis long time ago, but in the present economic situation, the equation changes a lot!!!! I have seen that lot of people desperate to sell their homes due to job losses. Is it good time to buy a house or wait for some more time. Or alternatively, invest in India rather than here and stay in rented homes here and move back to India, once you retire. Any new ideas/ inputs welcome with our desi's experiences?
I question your motive about putting this question on this board (Since you are a "smart desi", you must be knowing all the answers) but still will try to answer logically
- Interest rates are at all time low. If you have a fairly stable job, it might be a good idea to buy a house
- Whenever you buy a house, I believe one thing to consider is that for a couple, if both of them loses their job (worst case scenario), the mortgage payment should be low enough so that the family can survive on EI. That means buying a house that you can afford to pay mortgage on, even during bad times
- Even if you want to retire at later stage, you can sell the home and recover the money put into it if possible. With rent, there is no return on money spent.
