Said It Here

Should I buy property or keep my money invested?

Deciding between real estate and market investments depends on your mobility, lifestyle flexibility, and the complexities of being a landlord versus liquidating assets. Tying up savings in a mortgage can disrupt strong market returns, while buying young in an expensive market might limit your freedom to move.

What people tried

Every workaround mentioned in the threads below. We haven’t tested any of them — and nobody here is claiming they worked.

  1. 1
    leaving savings in ISAs to accumulate further
  2. 2
    investing randomly in ISAs
  3. 3
    considering buying a property to do up and rent out
  4. 4
    Continuing to rent until lease ends while saving monthly cash flow to pay a larger down payment
  5. 5
    Using monthly cash flow instead of cashing out investments to handle mortgage debt
  6. 6
    Using rent versus buy calculators online to compare net financial returns
  7. 7
    Continuing to rent while aggressively funding 401(k) and stock market investments
  8. 8
    Buying a less expensive home to manage affordability and handle remodeling projects
  9. 9
    continuing to save and invest normally without upgrading homes
  10. 10
    buying a second vacation home further down the road
  11. 11
    using vacation rentals instead of purchasing property
  12. 12
    keeping money in the stock market instead
  13. 13
    hiring a rental agency to help manage tenants

In their words

Unedited, most upvoted first, each linked to the thread it came from.

Was thinking about buying a property but I live in London & I’m not sure a flat is a good investment, also I’m still pretty young and might move around, I’d love to buy somewhere to do up and rent out, then I see problems being a landlord etc. I don’t know if I should leave the money to let it accumulate further.source ↗

Historical_You_560 · r/personalfinance · 1 upvotes

What’re your thoughts around the fact that we didn’t buy long ago? My understanding is the general rule of thumb is to not move until living in a house for at least 5 years?source ↗

Username1273839 · r/personalfinance · 1 upvotes

The question is, if we purchase now, do we liquidate and try our best to pay down 200k to reduce the mortgage, or pay less down, and let our investments stay invested since the market has been giving good returns?source ↗

TheYellowJellyfish · r/personalfinance

Me and my wife are 30 and live in a relatively lower-middle cost of living area. Right now we are renting a pretty affordable place (it costs us about $1500 total to live here per month).source ↗

We have considered buying a house now, but we really have no desire to have a “starter” house.source ↗

On one hand, cheap rent means we can be putting money aggressively into 401K and other investments, but to me it’s a boring lifestyle.source ↗

No_Show711 · r/personalfinance

Well I think it’s financially feasible for sure just wasn’t sure if it’s smart. I have heard some people say houses are a bad investment compared to stock, and that it’s smarter to rent (if it’s a lot cheaper) and put the difference into stock.source ↗

No_Show711 · r/personalfinance

I bought my house in February, and there’s another fully renovated house in my neighborhood for sale that I’m looking at for a second property. Would it make sense or is it dumb?source ↗

I don’t want to make a dumb decision, so genuinely just am asking for advice!source ↗

Individual-Air1598 · r/personalfinance

Should I finally buy a property or rent?source ↗

Nervous-Chemistry245 · r/personalfinance

Where this came up

People with this problem also raised