So, I'm watching The Daily Show this evening, and the guest is Chairman of the House Financial Services Committee Barney Frank. The conversation turned to the sub-prime mortgage crisis and the push to turn renters into home owners, because apparently renters are bad people.
I like being a renter. There's no way I could pay less per month with a mortgage and insurance and property taxes and HOA fees for a place comparable to the one I rent. And when you own, all of your places problems are yours. Like when my ceiling in my bedroom collapsed this winter during heavy rains, I would have had to pay to fix it. Your fridge breaks, you buy a new one. Your plumbing gets effed up, you have to pay the plumber.
There's nothing wrong with renting. I don't think it's throwing away money, especially in the current real estate climate. If you buy a house, you're set paying the price you bought it for, simple as that. But rent can go down, you only sign a year, possibly two year lease at a time, and if you're a good tenant you can lock in your monthly rent, or even get it lowered. Granted, refinancing a mortgage is an option, but that's just changing your interest rate, it doesn't get lowered if the "value" of your house plummets. House value is just a perceived number pulled out of someone's ass based on supply and demand. (Granted, rent is the same thing, but, like I said early, there's a little wiggle room for good behavior.)
I am a renter, and I am not a bad person.