It’s been a rough few years for the housing market, to say the least. We moved into our house in mid-2007. The price we paid was roughly 15% lower from what the previous owners had paid several years prior, so we thought we were getting a steal. Turns out the market had a lot further to fall.
Even though we put 20% down, we were precariously close to the point of being underwater by the time the bottom hit. We never quite hit there, but that shows that the total ‘loss’ in value on the house was over a third. That’s pretty staggering.
With all that, there were many pundits who became steadfast in their belief that renting was advantageous to owning a house. For the last few years it was hard to argue as they could point out that their payments were not going toward a declining asset, not to mention they were not responsible for the maintenance and upkeep that homeowners had to take to keep their property current.