Do you own or rent?

I live rent free in peoples head

Same in Singapore. People don't realise that the government control's both the tax rate AND the valuation. So recently my investment property was arbitraily increased in valuation and pushed into the higher tax bracket. (Which was also increased in %). After calculating...a 4million property, 50% mortgage. Fully tenanted for 12 months. After minus off maintainance, tax, the interest portion of the mortgage, agent fees etc.... I earned 2000 dollars in a year. (Not a typo!) Needless to say I sold that paperweight... keeping it would be irresponsible use of capital.

Well done, many more stories like this will emerge in the US soon as well especially in states like Texas where the trap is more cleverly designed.

Facts. But there’s also a balance between above and that dream vacation house for the family, where memories are made. Always find the balance that works for your family.

This is very true! I think that is what you have to quantify now more than ever.

True. But once my parents rented In between home purchases and all of a sudden the landlord wanted his house for his kid. So they had to scramble to move. That’s no picnic either.

Plus now you have to deal with squatters if you rent out or leave your home un-guarded.

True—real estate’s “ponzi” mechanics are baked into the system. The IRS code itself is designed to incentivize constant reinvestment into property (1031 exchanges, depreciation, etc.), ensuring the cycle never stops. 🏠 It’s less about true ownership and more about keeping the cash flowing to taxes, maintenance, and insurance. Keeps the “American dream” alive, right? What’s your take—is there a way to escape this cycle, or is it by design?

It’s the most privileged and compliant asset class in the US. Should be considered as part of the radical portfolio in the 60% bucket, and much smaller than how most Americans approach it by going all-in.

If you own, you do protect yourself from inflation over a 10-year time horizon. The majority of rent has doubled, while the majority have a sub 3% mortgage rate locked in. My biggest gripe is that you can not adjust your monthly payment by throwing 200k towards the payment. Refinancing in that scenario doesn't make sense, either. I know because I wanted to throw 300k at my house, and it didn't make sense. I'll need to wait for rates to drop significantly or just pay the fucker off.

Pay it off and 1031

As bad as it is, renting is objectively worse if you can afford to buy.

Not sure if that’s true if rates are 4.5+

Spot on... so what's the recommendation Jeffy boy? Rent or own? The answer definitely depends on where in the US you live. I also can tell you that there are non monetary benefits of owning vs. renting. Both however, come with their own unique challenges.

If you don’t have children, I’m convinced at this point the answer is rent.

You forgot HOA fees. If you pay only $250/month, that's $3,000/year, $90,000 over 30 years ... and we all know $250 is on the low end.

Seen so many of my friends be forced out of their apartments. Once you have a family it’s important to have stability.

My guess is that you are including utilities & home improvement projects to keep the place current in “maintenance” but just in case, wanted to add those as they also are significant and hard to avoid.

I meant more things you can’t control like HOAs, coop fees, condo maintenance etc where there is a 3rd party take rate, but perhaps your point is also valid. Maybe home improvement as a discretionary expense is also an illusion.