Key Post Is rent "dead money"?

26cb said:

Many years ago I was in Holland and the dutch found it amusing that many irish and english owned their houses but rented their televisions whereas many dutch owned their televisions but rented their houses. Of course it all came down to culture and rent control ( as it does in Manhattan ).

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Well the dutch are making a big mistake there so.

qwertyuiop said:

Well the dutch are making a big mistake there so.

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Why? Maybe we are making the mistake

Thomas22 said:

Why? Maybe we are making the mistake

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Because - like ireland - property prices have continued to rise in holland.

qwertyuiop said:

Because - like ireland - property prices have continued to rise in holland.

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Doesn't mean they will continue to do so.

And right now with the net yield well below the interest rate on a mortgage so a mortgage is dead money IMO

Thomas22 said:

Doesn't mean they will continue to do so.

And right now with the net yield well below the interest rate on a mortgage so a mortgage is dead money IMO

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Correct - as in, past performance is no guarantee of future performance.

That said - if property has continued to rise consistently over the last few decades then that is good enoygh for me.

Like - if you anticipate anything other than gains then you'd really havet o have a very good reason to think that.

What would be your reason (Keeping in mnd that there were very high interest rates in tge past and property continued to rise over the long term)

Also - just to clarify my position - i do think its advisable to rent for the foreseeable future and keep an eye on the market.
At a complete guess i would say 18 months time may not be a a bad time to buy