Owning vs Renting: the basic economics

[HampiK]

You can watch this guy talking about rent/buy Phuket.

But sorry.. this guy compare a 7-million house with his home for 10'000 baht rent.

Condominum in BKK for 7 Million baht you can rent out for about 40'000 - 45'000 baht and not 10K or 20K what he think...

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Only this statement shows me, that he have no knowledge. I would not say he is wrong about renting.. but....

In my opinion buying is only interesting if you have enough money to buy and still have enough and also don't care if you have to leave the country and can't sell it. Otherwise rent.

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[Craig krup]

But sorry.. this guy compare a 7-million house with his home for 10'000 baht rent.

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Well, he's quite clear: like most tenants who pay the rent on time he's a valuable asset, so they don't up the rent. The basic reasoning that we began with - though - which he's worked out for himself, is sound, but there's absolutely nothing you can say to people.

It's like talking to people about the "vig" in pure gambling, and why that's all the gambler really needs to know. People won't listen. There's nothing you can do. Some people read "Thinking Fast, and Slow", and it was a best seller, but reading stuff like that is a minority activity, and becoming more so with every passing day.