- Moderator
- #1
The RBA says you're probably better off renting
Read more: http://www.smh.com.au/business/the-...off-renting-20140714-zt6xx.html#ixzz37RoZ7qB7
The RBA's conclusion is that house prices would have to rise at the same rate as they have for the past six decades for owners to be as well-off as renters.
I think many people would have already suspected this, but it is nice to hear it from a source that is held accountable to some degree and heavily scrutinized.
That said with the Australian governments favourable opinion of investment in houses it may still be the best way to accumulate wealth for a high proportion of the population. For those with discipline to regularly invest and not panic sell, purchasing shares is consistently shown to have better return but that its simply not an option for many people.
Read more: http://www.smh.com.au/business/the-...off-renting-20140714-zt6xx.html#ixzz37RoZ7qB7
The RBA's conclusion is that house prices would have to rise at the same rate as they have for the past six decades for owners to be as well-off as renters.
I think many people would have already suspected this, but it is nice to hear it from a source that is held accountable to some degree and heavily scrutinized.
That said with the Australian governments favourable opinion of investment in houses it may still be the best way to accumulate wealth for a high proportion of the population. For those with discipline to regularly invest and not panic sell, purchasing shares is consistently shown to have better return but that its simply not an option for many people.