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Money Guy Show

Is Homeownership Officially Overrated in 2024? (Cost Breakdown)

Money Guy Show

Brian Preston, CPA, CFP®, PFS and Bo Hanson, CFA, CFP® | Fee-Only Fiduciary Advisors

Education, Investing, Business

4.73.1K Ratings

🗓️ 1 January 2024

⏱️ 26 minutes

🧾️ Download transcript

Summary

How do we feel about buying a home in 2024? We'll walk you through that question and more in today's Q&A episode! Jump start your journey with our FREE financial resources Reach your goals faster with our products Take the relationship to the next level: become a client Subscribe on YouTube for early access and go beyond the podcast Connect with us on social media for more content Bring confidence to your wealth building with simplified strategies from The Money Guy. Learn how to apply financial tactics that go beyond common sense and help you reach your money goals faster. Make your assets do the heavy lifting so you can quit worrying and start living a more fulfilled life. Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:18.0

Yeah, we got a great question. To start us off from Ramona. It says almost every financial person I listen to says that buying a home is one of the best ways to build wealth. But for me, at least right now, renting is so much cheaper. Wouldn't it be better to just rent and invest the

0:25.7

difference? This is kind of a common thread in questions that we're seeing in this

0:31.3

current climate. So what do you guys have to say?

0:33.5

Yeah, I think this is really interesting.

0:34.9

And there, in my view, there is one word

0:38.2

that this question hinges on.

0:40.2

And the word was, wouldn't it be better to just rent and invest the difference?

0:45.6

And I think the answer to your question or Mona depends on how you define the word better.

0:51.2

It depends on what outcome you're looking for because I think we've lived

0:53.6

in this world where it has been drilled into us that home ownership is a must that's the

0:59.4

only way to wealth you have to own a home you have to own a home you have to own a home.

1:02.8

And while there are amazing and wonderful benefits

1:06.1

to home ownership, if owning a home is not part

1:09.2

of the goals that you have or the desires that you have

1:12.3

or doesn't make sense for your unique situation,

1:15.0

it may in fact not be the best decision for you, especially in an environment where home prices

1:20.9

have skyrocketed and interest rates are super super high.

1:24.1

So I think a lot of young people especially, they feel this pressure.

1:27.6

I have to buy home.

1:28.8

I have to buy home.

1:29.7

I have to buy home.

1:31.1

I don't know that that's an appropriate and accurate pressure that everyone

...

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