Hello #HIVE Owner @chekohler,
What a fantastic article this one is.......breaking the conventional thoughts about owning a house!
I was also of the same opinion as millions of people that owning a house is like owning heaven, BUT IT'S TRUE NOT NOW. IT'S A THING OF THE PAST. But reading your article is like an eye-opener precisely.
In a country like India, this is a good idea. People owning a house enjoy a special status here. Our people think it to be like more of as a place of SECURITY but in order to achieve, they let go of everything. They are ready to sell their jewels, get stuck in debts from private money lenders, and believe it or not, they are even ready to go bankrupt!
Thinking to get a secure place, they are making themselves insecure.
"Your home only becomes an asset when it generates you a return, if you're AirBnBing it or renting it and bringing in regular income, that's an asset.
If you've used your home as collateral to access capital to start a business, that generates an income that services that debt and provides you with an income above that, then its an asset.
If all your home does is cost you money, it's a liability."
EXACTLY. NO SECOND THOUGHT ABOUT IT. YOU HAVE CLEARLY DIFFERENTIATED IT BEYOND ANY DOUBT.
"As you maintain a home, repair it, pay taxes, pay for all the other expenses of a home, it eats into the margin you gain as appreciation on the price. "
GOLDEN WORDS, Sir. When we lived in our home, we really found it a hell of a thing to spend on the repairs. The more we try to set it in, the greater will be the expense incurred to us.
So, it may go either way. But the Own house factor seems to be more of like a liability than being an asset, given a lot of complications it involved around it.
Enjoyed your article to the fullest, Sir.
#HIVE FIVE from India to South Africa, Sir.
I’m glad the article hit home for you and I find it amazing the responses I get from diffent parts of the world! Across cultures and divides it’s seems like it’s all playing out pretty much the same as we have all the same monetary policy and banking rules basically
I’ve never been to India, my parents have been 4 times though so they’ve told me about how it’s developed over the last 30 years or so and how it’s become a country of two worlds!
Amazingly developed, modern and wealthy and then very poor and low standards of education and the divide is hard to bridge
I think that also with the population dynamics it makes it very competitive in India and they cannot build homes fast and cheap enough to meet the demands of the population so prices have to rise as people profit from as you say the security and prestige overs home and overinvest in property pushing prices higher and keeping more people out of the market
I don’t know how long this property thing can last it has to self correct eventually and when it does a lot of peopel will be hurt it may not even be this generation but the next, who knows with all the crazy money creation and inflation we have now to keep things going
Dear #HIVE Owner @chekohler,
A few moments ago, I had a thought about this topic.
Didn't it take such a long, long time for the people to understand about the advantages of Crypto and disadvantages of fiat currency?
Similarly, it will also take a long time for the people to realize that home is a illiquid asset and worth it( i mean they knew it, but they still do give more importance to own a home) and the exceptional case being off-grid houses! Isn't it, Sir?
"they’ve told me about how it’s developed over the last 30 years or so and how it’s become a country of two worlds!"
A thing of the past, Sir. Post 2014, our country has been on a downslide and currently India is TOTALLY DEVASTATED😭😭😭, Sir.
#HIVE🤚from 🇮🇳 to South Africa, @chekohler Sir.
Yes it's breaking a lot of the old ways of thinking and many people will die before they change their minds, I think the younger generation will see the downside of fiat easier and why crypto is better as well as the ideas of reasonable investment in homes and not over-investing in one asset class versus another.
We're all going to have to come up with new ways of thinking if we plan to build back up from what is going to happen over the coming months and years.
Would you say this is due to Modi and his presidency or was it before he came into power that it was already seeing India on the decline?