What often gets lost in the rent versus own conversation is that both paths are heavily influenced by the macro environment and personal risk tolerance. Owning property is not just a lifestyle choice it is a leveraged position in a single illiquid asset that is subject to local economic forces regulation and the whims of credit markets. Renting on the other hand trades the potential upside of appreciation for flexibility liquidity and insulation from certain financial shocks but comes with its own long term exposure to rent inflation and lack of equity building.
One thing worth considering is that while the stock market and bitcoin have shown explosive returns over certain timeframes they also carry volatility and sequence of return risks that become more pronounced when your investment horizon shortens or you require liquidity. Real estate does not escape volatility either it just moves in slower cycles and hides the mark to market losses more effectively.
What often gets lost in the rent versus own conversation is that both paths are heavily influenced by the macro environment and personal risk tolerance. Owning property is not just a lifestyle choice it is a leveraged position in a single illiquid asset that is subject to local economic forces regulation and the whims of credit markets. Renting on the other hand trades the potential upside of appreciation for flexibility liquidity and insulation from certain financial shocks but comes with its own long term exposure to rent inflation and lack of equity building.
One thing worth considering is that while the stock market and bitcoin have shown explosive returns over certain timeframes they also carry volatility and sequence of return risks that become more pronounced when your investment horizon shortens or you require liquidity. Real estate does not escape volatility either it just moves in slower cycles and hides the mark to market losses more effectively.