The purchase is going to look like very good financial planning in a few years. According to a breakthrough inflation measurement tool developed by brainiacs over at MIT, prices in this country have increased by 2% in just six weeks! In other words, prices are going “parabolic.” And that means it is a good time to have low, fixed rate debt, as much as you can. You traded a fixed cash flow with decreasing value for a physical asset. 2% inflation in six weeks is roughly 17% annual inflation before compounding. That’s a LOT.
Historically, in periods of high inflation, real estate is one of the best places to be. But even if that is not the case, your costs are fixed. So relax about your finances, enjoy the tax deduction while you can, and welcome to the club of fellow knife-catchers!!! Well played.
