
Renters who save and invest can acquire wealth just as well as homeowners who rely on their house as their biggest asset. Over the long term, home ownership is superior to renting because homeowners fix their housing costs whereas renters pay an ever-increasing housing cost. In fact, I believe owning a home without a mortgage is the best retirement savings plan available because it provides the opportunity to permanently and dramatically lower an owner's housing costs. In addition to the fixed cost of ownership, an amortizing mortgage serves as a forced savings account, providing financial discipline that may otherwise be lacking. Of course, lenders pervert this benefit by offering mortgage equity withdrawal, but the forced savings benefit is still significant,…[READ MORE]