[quote=JohnAlt91941][quote=FlyerInHi][quote=JohnAlt91941]
Perceptive people recognize bubbles, unlike sheep (who inflate bubbles).[/quote]
And where are they are going to live for less than their current mortgage payments? Remember, they bought at the bottom.[/quote]
Hence, $170k in gain. Do you really think that will be eaten up by the difference in their mortgage vs renting?
They may find something to rent CHEAPER than their current monthly nut depending on what they are comfortable with.
Myself, I haven’t seen rents skyrocket the last few years.[/quote]
That $170 in gain really is closer to $120k in gain after selling costs.
Personally, I think it’s a bad idea to play russian roulette with your primary residence, especially that the OP bought at such a ridiculously low price with probably a ridiculously low fixed rate mortgage, and without knowsing how OP will manage that $120k . What would be worse if is that $120k is tapped and used to pay off debt and then spent on other things, leaving the OP back to square one with no savings and now no house.
By not tapping the equity and continuing to pay down the house, the person is essentially “saving”. Eventually, when the person owns the home free and clear, the person has minimized his living expenses, and if he/she want to retire in their sixties, sell and buy something smaller or move into a retirement home. I don’t think we’ll ever see mortgage interest rates as low as they were. And the OP also bought at a historically low price, it’s unlikely we’ll ever see both low rates and low price in the forseeable future. Very unlikely the OP’s primary home will see $330k prices again. So for practical purposes, it is his savings account.
