Been doing a lot of research lately. I live in an area with expensive real estate, but somehow the rental prices are out of whack. I see houses supposedly valued at $1,000,000 are renting out for as low ad $3000/month (Indication of a bubble?). The monthly expenses for a mortgage on such a house would be $6000/month. So, by renting you get to live in a property 2x better than what you could afford if you bought, and
* You still get access to the school system and all the other benefits of living on the property.
* You don't have to spend years saving for a 20% down payment. You can take the $200,000 and buy a stock or bond that yields 5% to give you an extra $10kyr! Which will pay your rent for 3 months of every year.
* If you find out something sucks about the property (annoying neighbors, freeway noise) you only have to endure it for 12 months max.
* You're sheltered from massive financial losses on your home. For example, there's an earthquake coming soon that will send my area back into the Stone Age. I can just terminate my lease and move somewhere else.