By Paulette Perhach, New York Times
Either by choice or because they are priced out of the market, many people plan to never stop renting. Building wealth without home equity requires a different mind-set.
As in any other market, predicting the future of rent charges is impossible. Rents could deflate as they did during the pandemic in New York City or balloon as they have in Amazon-inflated Seattle. Housing prices could crumble as they did during the Great Recession or explode as they have in San Francisco. The key is to have a plan that covers you in a variety of scenarios.
“Renting can be a better financial decision; owning can be a better financial decision,” said Ramit Sethi, author of “I Will Teach You to Be Rich.” “Too often, we simply buy because our parents told us to, and their parents told them to.”