tag:blogger.com,1999:blog-33399132.post7159845712558523949..comments2024-03-04T08:09:21.453-08:00Comments on Richard's Real Estate and Urban Economics Blog: What is the correct downpayment?Richard Greenhttp://www.blogger.com/profile/02161226214739034402noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-33399132.post-91650593442467577462010-10-14T18:08:57.780-07:002010-10-14T18:08:57.780-07:00Some people prefer to rent a home because they thi...Some people prefer to rent a home because they think that buying a home is lot more expensive than renting one. What do you think about this?<br /><br /><a href="http://www.approvedinvictoria.com" rel="nofollow">Victoria Mortgage Brokers</a>SPWShttps://www.blogger.com/profile/10445186168598001777noreply@blogger.comtag:blogger.com,1999:blog-33399132.post-8220212630789938732010-08-30T09:54:56.451-07:002010-08-30T09:54:56.451-07:00Morgan, I think historically, yes, renting has bee...Morgan, I think historically, yes, renting has been much worse than buying. And large down payments essentially function to reinforce past economic injustices. (e.g. children of middle and upper-class parents frequently get help with these down payments from parents...minority groups--more frequently from low-income backgrounds don't receive such assistance and are at a serious disadvantage)<br /><br />Of course, past performance is no guarantee of future results, so...maybe instituting much, much higher down payment requirement would be a good idea. Such a policy would likely have the affect of drastically reducing home prices even further, thus destroying much of the (paper) wealth that separates the middle class from poverty. That might be another way of going about removing the economic stratification in society, since the low-down-payment approach kind of blew up on us.devinhttps://www.blogger.com/profile/11660840977617091681noreply@blogger.comtag:blogger.com,1999:blog-33399132.post-43144158048031246772010-08-27T07:05:40.463-07:002010-08-27T07:05:40.463-07:00If a bank keeps a loan in their portfolio, they wi...If a bank keeps a loan in their portfolio, they will be pretty astute in determining a proper down payment. If that loan is bundled into a CDS watch out before you buy. Is there a moral here?Cheshttps://www.blogger.com/profile/07214918997716742448noreply@blogger.comtag:blogger.com,1999:blog-33399132.post-10111220629495931762010-08-26T22:42:08.534-07:002010-08-26T22:42:08.534-07:00Why is 25% too high -- is renting really so much w...Why is 25% too high -- is renting really so much worse than buying? What am I missing?Morgan Pricehttps://www.blogger.com/profile/09605746270741576772noreply@blogger.com