Can I live in a stock portfolio ?
Does it give me security of not having rent increases or my land lord deciding to sell up or taking exception To my car or having to put up with his godawful wallpaper….
Better paying my own interest than the landlords surely ?
My point is people don’t appreciate the costs of owning, if rent is equal to interest paid (and lost on capital tied up in the property) then there is a zero gain assuming prices don’t change. If they go up, as is assumed, then there’s a nice profit – not least as most borrow so are heavily geared. But the flip-side to this is it’s easy to be wiped out as some BTLers found out following the banking crisis.
Just for the record – I bought in 1996 which was at the bottom of the market following the late 80s/early 90s slump, borrowing heavily as was sure prices would rise, carried on with a move to London and rode that wave pretty well though got of too early 10 years ago, from an financial PoV, as moved out to a nice Surrey village which hasn’t done nearly as well since.