People often fail to take into account that risk has a value. I did some quantitative analysis (most of that is BS but that's another story) for a gig and it was big eye opener.
People talk like:
"Well property praises will always go up. It's a good investment yada yada" but there is a risk that they won't (which often is a sore point). There's even a risk they'll crash. Many people (at least in Sweden) is so over leveraged that it wouldn't take that much for the bank to require a mortgage holder to put in more money to cover the decreased value of the property.
How large risk for a "catastrophic decrease" varies but taking that risk is a cost in itself. It's the same as with insurance, the less healthy/more risk you are the more it costs.
With renting you might not have the upside of investment, but you also don't have to bear the "cost" of that risk
People talk like:
"Well property praises will always go up. It's a good investment yada yada" but there is a risk that they won't (which often is a sore point). There's even a risk they'll crash. Many people (at least in Sweden) is so over leveraged that it wouldn't take that much for the bank to require a mortgage holder to put in more money to cover the decreased value of the property.
How large risk for a "catastrophic decrease" varies but taking that risk is a cost in itself. It's the same as with insurance, the less healthy/more risk you are the more it costs.
With renting you might not have the upside of investment, but you also don't have to bear the "cost" of that risk