Should I Buy or Rent? A mathematical guide to help you keep up with the Joneses
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1 July 2011
Conclusion
I wrote this blog post to convince myself that buying a house doesn’t always make financial sense. I think Freud called that rationalization?
The reality is buying a home is likely the best investment option in most scenarios, but I don’t think I fit in that form. I would bet that Canadians generally have these attributes:
- invest their money in fairly conservative financial instruments
- live in urban areas with moderate growth in housing prices
- do not pursue graduate studies
- do not move to other provinces / countries
It doesn’t look like I have finished moving between provinces and I am still tempted by graduate studies. I can happily pay my rent each month without regret. At least for now.
If you are still interested in this topic, check out this article on the Financial Post.
Page 1 ROI sensitivity to monthly rent
Page 2 ROI sensitivity to housing growth
