Why I Choose to Rent: A Multi-Millionaire’s Insight on Avoiding Real Estate Investments

Welcome to The Tao. Today, I address a provocative topic: Why I Rent My Home and Advocate Against Real Estate Ownership. ͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­ Forwarded this email? [Subscribe here]() for more --------------------------------------------------------------- [Why I Choose to Rent: A Multi-Millionaire’s Insight on Avoiding Real Estate Investments]( [Jack Roshi](dailymoat) Sep 20 ∙ Preview dailymoat   [READ IN APP](   Welcome to The Tao. Today, I address a provocative topic: Why I Rent My Home and Advocate Against Real Estate Ownership. Also, just a heads up — the Tesla giveaway is happening next week(lawyer stuff), but I have huge surprises on Saturday and Sunday this week. Reimagining the American Dream: The Homeownership Facade Beyond the Iconic Suburbia The American Dream often conjures images of sprawling suburban homes, where families thrive in spacious backyards and communities are tightly-knit. This idyllic portrayal isn't a natural evolution but the product of decades-long, strategic marketing campaigns orchestrated by influential bodies like the National Association of Realtors, recently subjected to a $1.2 billion judgment for deceptive practices. Urban Realities: A Contrast in Living Standards Contrary to the American emphasis on single-family homes, many cultures worldwide prioritize multi-family dwellings and rental living. Cities across Europe, Asia, and other regions predominantly feature high-density apartments and rental communities as the norm. Possibly the last time to get lifetime access to everything I create for $450. Price is going up every month. Sign up as a Founding Member, join The Inner Circle and you will never be charged again. Guaranteed! All of my current and future stock and ETF portfolios are included! [Upgrade to paid]( The Obsolete Financial Blueprint of Homeownership Historical Metrics vs. Modern Realities In previous decades, purchasing a home was a straightforward financial decision: - House Cost: Approximately 2.5x annual income. - Down Payment: 20% of the purchase price. - Monthly Payments: Limited to 30% of gross income, covering mortgage, maintenance, insurance, and taxes. Example: - Income: $60,000/year - House Price: $150,000 - Down Payment: $30,000 - Monthly Payments: $1,500 Current Reality (2024): - Average House Price: 5x the median income. - Down Payments: Consistently set at 20%, totaling $240,000 for a $1,200,000 home. - Mortgage Rates: A typical 30-year mortgage now stands at almost 6% APR, up significantly from historical averages. - Monthly Payments: Elevated by higher interest rates, making previously affordable homes prohibitively expensive. For a $1,200,000 home: - Down Payment: $240,000 (20%) - Mortgage Amount: $960,000 - Monthly Mortgage Payment (Principal & Interest): Approximately $5,760 - Additional Monthly Costs: - Property Taxes: $2,000 - Insurance: $250 - Maintenance & Repairs: $3,000 - Total Monthly Ownership Cost: $10,010 This shift renders traditional homeownership metrics obsolete, amplifying the financial risks and burdens associated with buying property today. Below you will find several case studies with investment calculations, myths about real estate renting, and essential question to make the right decision. Debunking the Four Major Myths of Homeownership... Unlock this post for free, courtesy of Jack Roshi. Claim my free post [Or upgrade your subscription. Upgrade to paid](   [Like]( [Comment]( [Restack](   © 2024 Daily Moat, LLC 1111b South Governors Avenue, Dover, DE 19904 US [Unsubscribe]() [Get the app]( writing]()