Liquidity is also a big factor. If you have to move and you can’t unload the home, it’ll turn into a huge albatross that will suck money for years.
Realtors always say well… get that teaser rate because you can always sell and move-up in a couple of years. If you can’t sell and loose the mortgage tax deduction, then you’re in deep doo-doo.
What about a risk premium for owning? Right now, there’s no risk in renting.
