Making matters worse is that for the first ten years or so most or all of your payments are applied to the interest, so you wont have any actual ownership or equity of the home,
or very little...for the first ten years. And consider that much of the appreciation of your house is simply due to inflation. So if inflation is 5% per year then that alone is undermining your actual appreciation.
If the concept of buying a house by installing it is not completely profitable because it will worsen financial conditions. But now we are given a good choice where to buy a house without an excessive grade or bill. The government makes home subsidies for the community and this is in the area where I live, the program is quite helpful for the community even though they have to work extra to cover monthly fees. Building a house by using their own money is difficult to do by the community now because they have to prepare enough money and buy land to build the house until it is finished.
I'm not saying that owning a house is a bad thing, there are certainly benefits to home ownership. It provides you with a place to live, you can borrow against it,
you can pass it down to your kids, etc. If you just want to have a place to live and call your own then owning a house may be a great idea for you, but don't think of it as some kind of
incredible financial investment because it is not as great as you may think.
The wrong way to buy a house by taking credit will create new problems if you do not have a stable income. Having a house is a must because we will live there with our family, so whether we like it or not we have to try to fulfill the purchase. Renting a house every year must spend a lot of money where we will never be able to collect money to buy it. The house becomes something important for people because without a house we will not get a decent place to live.
The house if rented out is also very profitable and that is also a part of investment. In my area the house is not enough because there are many people who rent to be left behind. The prospect of housing is also quite good in the area where I live because it has a selling value that is increasingly rising.