Nostr Web Client

So a home is an asset that has a lot of utility that other assets don’t have. If you want to grow food, learn woodworking, and have a place to sleep - you can’t find that utility on-chain.

It may be difficult to find that combination renting as well, and anything you build may not be able to go with you and must be abandoned, destroyed, and/or restarted at your next residence.

I say this because the ability to spin-up projects, learning, family, and community that a home provides often don’t make it into spreadsheet calculations, but they are more valuable than net worth.

Since you have a timeline and use the word “position” though, I gather you are asking about investment timing as well.

Rates & prices are currently historically high. If a 2008-like event occurs in the next 5 years, then that might change dramatically, and you might want to buy.

If they keep inflating the ballon, or if they are slowly trying to deflate it, then prices and rates may stay elevated for some time.

Myself and others in our Bitcoin community are asking the same questions, and looking to make real estate buys *sometime soon*, so we’re in the same boat.

Sovereign Being 5mo ago 💬 1

Great point about having some land giving you benefits that renting can't provide. I have a suspicion that the current trend in pricing can't be sustained and something is going to give. I wonder to what extent - if any - the state plans on 'punishing' homeowners. Such a regulatory requirements to make homes green, for example.

I bought my house shortly after 2008. I can see prices getting back down there at some point, but I can also entertain the idea they will continue up for a while still.

Reply to this note

Please Login to reply.

Discussion

bitcoinacct 5mo ago

Agreed about current trend in pricing, and how hard it is to forecast the future in the current environment.

Enforcement of any punishment would be at a local level, usually through sheriffs, so location is crucial. Sheriffs have a lot of power to say “no”.

For others who might read this and currently view a domicile through the net worth lens, consider these about renting.

You usually can’t control security, maintenance, impact of neighbors (especially in a multi-unit), rental price, or the moral character of the individual you have dependencies on (the landlord).