Comments on: Homes vs Stocks

By: Hybullshit

Hybullshit — Fri, 28 Nov 2008 20:44:46 +0000

Negative equity happened in Hong Kong starting 1997 and ended about 2000.
It is a fact of life.
It is not renting,
you are still responsible for liabilities when
someone gets hurt in front of your property.

By: Hybullshit

Hybullshit — Fri, 28 Nov 2008 20:41:28 +0000

Great thoughts on paying a mortgage vs stock.
This should be required reading for 1st grade through 12th.
Everyone needs to read this at least 2 times a year.
But then, the stock brokers may want to rip that page out of textbooks.

By: Oscar Thibidoux

Oscar Thibidoux — Fri, 21 Nov 2008 21:39:23 +0000

Essentially I agree with your main points. Earlier today I heard about areas in California where the value of the home has gone down $50K PER MONTH. So, there probably is a big difference between being down 10% and facing these types of losses.

By: Bill

Bill — Wed, 19 Nov 2008 19:26:28 +0000

“Which is exactly the point. Buy and hold works when it comes to the HOME you LIVE IN. Turning in the keys because you have negative equity is a fool’s game. If you do, YOU WILL NEVER OWN A HOUSE.You will be a renter FOREVER”
-MC

I’m sorry Mark but I just cannot agree. If you remain in negative equity forevermore in “your” home then you’re renting anyway, you don’t own a thing. Send in the jingle-mail.

By: Homes vs Stocks | Chad Bennett

Homes vs Stocks | Chad Bennett — Wed, 19 Nov 2008 01:25:24 +0000

[...] This was written by Mark Cuban and I would have to agree with him. You can find the original article at http://blogmaverick.com/2008/11/11/homes-vs-stocks/ [...]

By: ian

ian — Tue, 18 Nov 2008 21:16:36 +0000

I think many people that dumped there houses because of negative equity are speculators looking to buy property and flip it fast, i heard the numbers are from 25%-40% of the mortgage industry was this type of buyer from 2000 to 2006,

By: nigel

nigel — Tue, 18 Nov 2008 18:14:53 +0000

I enjoy most of what you write.. but this is moronic.

You’re saying to stay in a debt that’s on average probably 10x a
persons salary – because they can have emotional value in it?

What’s wrong with being a renter? If you can make your mortgage, then
you can afford to rent AND save a few thousand each month.

Foreclosure does not cancel out any possibility of owning a home again..
especially when almost every sheep has the same stripes. Many people
will foreclose in the next few years. You saying the mortgage industry
just lost those people as customers for life? NOT!

Walk away, rent and save cash… why do you want to own a home, they’re
a pain in the ass to maintain – and why would you care about deductions,
when it’s a deduction on money you don’t have to spend in the first place.

By: Aaron

Aaron — Tue, 18 Nov 2008 17:04:38 +0000

Isn’t your philosphy of do not buy and hold stocks why you are being investigated by the SEC right now?

By: Winky

Winky — Tue, 18 Nov 2008 16:10:38 +0000

Great advice Mark. Bless you

By: Jack R.

Jack R. — Tue, 18 Nov 2008 05:15:50 +0000

The problem is with stocks is you cant fix it up. If it’s a dog, it will always be a dog. A house can be fixed to make it yours. Too often recently, people are thinking of their residence as their cash cow. Not so. It is a place to live your life. Now I’m a pretty good architect, and a real lousy financial advisor, but the house as an investment works for you only, not as a real estate venture.