What's your take on renting vs buying - what's better? Let me know in the comments section :) Have a great day and hope you achieve everything you set out to do! -Charlie

“You don’t need to reinvent the wheel, everything has already been done. Copy it and do it better.” I love it!

Something people don’t talk about is buyers remorse, mixed with the unexpected payments you take on and may possibly not be able to afford. The cost of buying and being responsible for unforeseen fixes is not often shared in the excitement of reaching this “ultimate step” of adulthood and success.

From the people I talk to, they don’t want to be stationary. They like moving from place to place, city to city, country to country. Nobody wants to sit in the same spot for 30 years. This was years ago when I was having these conversations so reasons are probably a lot different now. More circumstantial things. I just know the younger generation likes to move around.

the first guy who is 21 is so well spoken lol, I'm 20 myself Im nowhere near his speaking skills

Some people don’t want to buy a home because of all the responsibilities and the hidden costs that come with home ownership. Owning a home would also tie them down to one location which makes it harder to just pack up and move elsewhere.

Asking people why they rent in SoCal is similar to asking people why they rent in NYC, these are two of the most expensive places to live in the world. I’d be curious to see what answers would be for people who live in other less expensive cities.

I hope the first guy continues to prosper and become extremely wealthy! Thank you Kevin for your insights - very encouraging. God bless you.

The first guy is well beyond his years, very mature! I hope he buys a home soon if he can afford it. Best investment I made in the Bay Area.

This really comes down to a conversation of people that are single/couple, vs those that have families. For families, owning a home will likely make more sense, so that you can avoid the burden of having to move your loved ones every year or two plus the added challenge of findings great and safe neighborhoods, schools etc. For single individuals, renting is a no-brainer and the way to go to maximize the use of your earned income.

Renting vs buying really depends on where you live. If you live in SoCal for the long term, buying is better. Unless you live in a rent controlled apartment and you're happy with it. Cost of rent is going to go up. Rent price went up over 50% in the past 10 years in SoCal. Even in areas that used to be considered "ghetto" is now super expensive to rent in. A lot of people make the mistake of increasing their lifestyle just because they earn a high income. The income might not last because something can happen at any moment. Better to maintain a modest lifestyle and focus on increasing your overall net worth. You can slowly increase your lifestyle as your net worth grows. Don't make the mistake of thinking you can spend lavishly just because your income is high. High income does not equal wealth if you spend it all every month. High net worth = wealth.

the average age to buy a home in our parents generation was 27, for this current generation the average age to buy a home is 49

I don’t think renting is throwing away money because you are trading it for a place to live

Sometimes renting is better, like if you are planning to stay in an area only a couple of years and your profession moves you around a lot. It's also an alternative if you absolutely hate/don't have time for managing a household in terms of repairs, taxes, and whatever else is entailed. The first guy has a good reason too, just seeing which way the wind blows before he commits.

Really refreshing to hear Kevin talk about leaving college after one semester, and his reasons why were very mature of him. It shows that college is not the right choice for everyone (For transparency, I have three degrees lol). I also really like the argument that in a great complex like where you're interviewing, there are many like-minded and motivated people to form a community with. I don't like to feel isolated, and would love to interact with people in the halls or lounge areas :D

I suspect for a lot of these people it is wishful thinking on their time horizon to buy a house. Timing is everything, and I hope we see low interest rates again when it is time for them to buy. Makes me grateful for my 2.75% mortgage.

I rented for 12 grand a month in Soho when I got divorced last year. I wasn’t stable in New York and didn’t know where I was going to end up, so I rented. Depending on your situation and lifestyle, sometimes renting is best.

Would like to see this from rich people who live in homes vs apartments. Would be harder to find the right people though.

Ramit Sethi whom I trust explains that there are LOTS OF hidden costs to home ownership that no one counts. And literally investing usually works out better than money from home.

It's insane how expensive the housing market is in California and even these high earners still refuse or postpone in buying a home in California. With their income they can buy a nice mansion in another state.

Hi I’m 8 and I make $25k/week. I started a tech company in 1st grade and sold it to google and now I get government contracts to clean remote beaches in the Atlantic Ocean. My rent is 15k/m

This video made me realize how thankful I am to own my home because those Rents are insnae

It was a pleasure meeting and speaking to you and Joey!

i was definitely caught by surprise by this interview while tanning at the pool LOL but very nice to meet you charlie :) see you around the community!

I'm 40 and seeing these kids making it makes me envy and proud of them at the same time. I got sick at 23 when my future was so bright and thought that I would make it. Health stole everything from me. However, I'm blessed to be in the USA and especially in Ca where I got to enjoy a simple life getting SSDI each month that can also pay for my rent in SoCal.

$5k/month is more than half of my yearly income. Throwing that much down a hole on rent is insane. I struggle and fall behind in bills trying to pay $300.

I live in a house with my family. Our community is relatively small despite the fact that 3-5k houses can be built in the area. Most people have decided not to build so there are only about 30 houses built. We know every single neighbor and have community events, play pickle ball together, we always wave to one another when we go for walks, etc. it’s a really nice community. We all help each other however we can. There can definitely be community in a development. I talk to more neighbors here than any other apartment I’ve ever lived in

Dang, that phone actually has a pretty good mic. Great video, Charlie!

We're retired military and defense contractors. We never bought a home anywhere because we were always traveling. Since retiring, we've been living in airbnbs all over the world. We choose where to live and for how long. The freedom that comes with not owning a house is absolutely incredible. Last month we were in Las Vegas for the F-1 race. This month, we're in Montana visiting family. Next month, we're off to Hawaii. If we owned a home, we'd have no choice but to live there.

Congrats on your 1m subscribers 🔥

I met a middle aged middle class couple back in the 90s whom were always renting expensive houses to live in. I didn’t ask them why they didn’t just buy but fast forward 20 years later. The husband still worked in his old age because they never owned a home as a safety net!😢

Great vid. I think it all depends on your stage in life. I rented luxury apartments with my wife and a roommate for years most we paid was 4400-4600 in marina del Rey. Was beautiful. But wife and I wanted our own so we bought in 2021. My wife and I now have a son and she stays home but I make around 180k bought a house for 500,000k north of LA in the desert mountains cause I work from home. Takes an hr to get to LA for a night out but we have the peace and quiet of the mountains and land. Our mortgage is 2600 a month if you add our property taxes monthly it’s 3400. Still cheaper than most of our old apartments in LA

I rent in Seattle! But I built our own house in the Philippines, and we are building our own Beach Hotel in the Philippines! Excited for the future!

Homeownership is a good investment: there's also a big commitment. you have to ask yourself, am I going to be here for the long term, can I rent the place, there's also upkeep, projects and costs to maintain them. If a renter has an ac unit go out, the building takes care of it.

if you are renting it is essentially a tax deduction if you are self employed or running a business, this is money you kinda would've been forced to either invested or lost to taxes either way. I dont see any problem with renting in America in particular since all the houses are kind of fake paper anyways. In Europe where I am from it's different story, the houses here goes down in generations, there are real actual value to homes here. I guess the value in America is actually the land/plot to be honest?

I would like to hear how the first person started their business with only $2k.

I make over $200k a year as a 26 year old in Northern VA and utilities and all included I pay $1300 for a room. Recently found a place for $750. Renting is donating to rich people and I choose to give rich people the least amount of money that I can.

I rent where I live and rent what I own. We’re able to rent a house for $5000/mo that to own would cost $11,500/mo + debt. Then we rent our house for $4500/mo when our mortgage on that house is $2250/mo. This gives us $6,500/mo to invest and earn interest on rather than putting it all into another mortgage.

Kevin spoke to my soul about leaving college after a semester and me wasting my time in college with debt.

That's sad. When I was in my 20's, I rented a room in a condo in order to save money. I was able to save over $1000 a month (back in the 1980's). When I was 30, I had saved enough to buy my first condo in Santa Barbara, which is one of the most expensive places in California. Most of my career, I've rarely made over $100k a year. It wasn't until recently that I started making over $150k. I'm now in my 50's, and own a nice 4bd/3ba house near the beach north of San Diego. My mortgage is less than $3k, and total housing (mortgage, taxes, insurance, HOA, sewer+water) comes to less than $4500 a month. The house is worth well over $1.9M. Earlier this year I installed a solar system under NEM 2.0 which has reduced my electric bill to zero, and subsized my gas bill to about $20 a month. Another thing that we love about owning our home is that we have our fur-babies without needing permission. We adopted 2 cats and a dog, all rescue animals, and have given them a lovely and safe home to live in. They are so much fun to have around. We didn't have to ask anyone. Or pay extra rent for them. When I retire in a few years, my mortage and solar loans will be done. Thanks to Prop 13, my taxes will be low and managable (about $1200 a month). I can retire on SS alone, which will be enough to cover all of my housing expenses, which will be about $1500 a month. And my last trick, when I am old and need money for full time advanced care, is that I plan to tap the equity of my home be either selling and moving into a care facility, or taking out a reverse mortgage. It should be more than enough to pay for it. I reckon I should had over $3M in equity by the time I'm 80. I'm so glad that I make the sacrifices I did when I was younger. Being an owner, they allowed me to take advantage of the low interest re-fi mortgage rates of 2020. They allowed me to leverage property appreciation to buy our current home. They allow me to take advantage of NEM 2.0 to get out of paying sky high prices for electricity. It allows me to rent out my extra guest room+bath to students for a little extra money, and having a pet sitter and house sitter when we travel. I allows me to retire without worrying about how I am going to pay for roof over my head. And I did all of this in expensive coastal SoCal, on a middle class wage.

I got a house in OC with a good school district, a pool, palm trees. Let me tell you what they are paying for is way way cheaper than home ownership.

Since houses are so expensive, I wonder if a better question would've been "Why rent instead of buying an apartment (or condo or co-op)? Perhaps something to consider for a future video? Thanks for the great content as usual.

My mindset is: if you have money, buy a house no matter what, if you live in it, great, if you don’t, rent it out and rent where u need to be.

Just remember, we have no idea how much debt these people are actually in. Also no idea how much money they get from family. What retirements plan they are doing

From a pure net worth perspective you will come ahead in the long run if you rent. It frees up more cash flow to buy index funds in the stock market. Buying a house is the most overrated thing in USA.

I moved to New York. I own $6 million in real estate . The reason not to buy where you live is so you can move easily and not have hassle of ownership. Repairs etc, ownership is good if holding long term or in bull market for quick sale. Short term can be risky with taxes and economy

First person you talked with slapped me hard with solace and tranquility.

Janice, you're not too old for YT and you look great. Go for it... the worst thing you can get is a no, just keep trying!

Owning a house is much better than renting because you don't have control if your landlord will increase their rentals as much as they want esp. in highly urbanized areas.

Its because they dont care. They dont want the responsibility. Its easier to rent then own, less work, less hassle, you just pay and live in it. In high end areas its far cheaper to rent then own too. You can rent a mansion for $10,000 a month that would cost $20,000 to mortgage.

I bought a 2018 Mercedes Sprinter Van and modified it to be a home on wheels. Best decision I ever made. I have no rent, I can get my job done from a laptop, I get to travel around and meet interesting people and explore new lands. It's awesome

I like how Chang doesn't everyone the same exact question like a lot of other channels in this niche

Absolutely relatable when the first dude said college felt like High School and he didn’t want to learn how to do what he wanted to do from people who don’t do what he wants to do. Spot on!

I will always own no matter what. Even if I move and buy another house, I'll rent out the old one. There's simply not any logical reason for me not to own, no matter what situation I'm in. Cause if the area I'm renting is too expensive to buy, then I'd just move. Everybody is not meant to live in LA, NY, Miami, etc. Go to the suburbs, move states.

She’s not too old. 34 isn’t old plus she’s smart and people would have no problem listening to her. Maybe it’s just shy being on camera like 95% of people.

I love the first guy’s communication skills.

21 and making 6 figures . Damn I really made some bad decisions. Good for him 👍👏

what that first guy said about surrounding yourself around the right people, that was deep. No one ever talks about living around the right people, but just keeping the right company. This guys comment is stating that you should aspire to LIVE AROUND PEOPLE who want more or people that are just doing more.

home prices are defintely high but most these kids better off building equity in a 1-2 br in CA for 400-700k still would be cheaper monthly including all taxes and utilities than some of these rents. better to be rich in 5 years than to appear rich renting in a 'nicer' amenity apartment.

I rent $650 a month… one bed, one bath and all utilities paid.

Dude, you must be in Irvine. I've lived in OC all but 5 years of my 40 year life--I own in Laguna Hills now--and I'm calling it, this is for sure Irvine.

I don’t think renting will make you meet more people I have a house and know all my neighbors and do have a community. I think either renting or owning can give you some community but most people I know that have a house actually know their neighbors because they’ve live along side each other for years while ppl that rent usually stay for a few months/years which isn’t bad of course

$3400 for rent in Cali is not rich. That goes for almost every major US city. They’re most likely make a little over six figures to qualify. You should’ve toured the apartment complex with a leasing agent and asked for their qualifications

The second woman is not too old. She's only 33. There are successful KZfaqrs way older than her lol. KZfaq came out when her age range were teenagers. Millennials literally grew up with KZfaq.

For me it boils down to 3 topics: affordability, flexibility and security. I currently own, but I will probably rent soon ( and I did many times while owning in the past years ), as Im planning to move to other country. So for the flexibility, the advantage is clear, you can just pack your stuff and leave without any financial risk, legal burden etc. Affordability is a bit different, it really depends on your market, but there are certain places, mostly big cities where the price of real estate is so high you would not pay it in 50 or more years with the rent they ask for. If you add up the maintenance, acquisition costs and taxes, you are easily looking at 60 years of payments and I do not see myself in any of properties for so long. In that case, it's really easier to rent. Germany for example have very big acquisition costs where you easily spend 60k on legal fees to buy a 500k house, which is over 10% of the price. For the security, I guess the higher the cost of the property, the more keen Im on cash deals, which means the longer it makes sense to rent. If you buy and average house for 300 000, your monthly payment is somewhere between 800 to 1500 euros, based on your downpayment, interest rate etc. Those are sums that most people can assume to make, especially as a couple, so I would say its quite safe to buy on mortgage and assume you will be able to pay it back. On the other hand, a 2 500 000 euro house in France will cost you 13 000 euros in mortgage payments a month, which is way above the money most families make. So if your current situation changes for worse, chances are you are going to have hard time to pay that payments. Therefor, I would go for way higher downpayment, and that probably means you will rent longer till you get enough money for downpayment of 2 milions for example. Generally it really depends on your flexibility needs and the market you are looking at.

First dude just 21 years old and set, it blows me away, his mindset is incredible.

These rents are way less than what a mortgage would be. This seems like Irvine or somewhere close. A decent house in a great location would be minimum $1.3M which would be an $8k plus mortgage

Loved to see many points of view around the topic! I am currently 28yo. Just moved (renting) to a nice area in one of the largest cities in Latin America and I am aligned with what Kevin said.

@9:00 "What do you pay for rent." "5,600 a month." "Do you think thats a decent price?" "Yeah its close to the gym and it has a nice view." Damn that is such a crazy amount

having owned multiple homes When you rent You dont have huge property taxes and upkeep with contractors is through the roof.... My friend just now has to replace his furnace 17K Price out new roofs......septic systems.......cracked foundations.......

Buying a house is a big commitment and it is really about how you use your money. The first guy has other opportunities for his money and leverage it. The second person doesn't have anything else to do with her money so buying makes sense.

Andrew Yang’s book talks about the war on normal people and how we’re living in a gig economy. Jobs are temporary, people often have to have up and leave

love your videos charlie!

I actually designed the OnePlus in 2008 but never patented the design. The bending screens were not in existence yet but I think the patent would have expired before I could sell it as a viable product. 😭

As of now renting and buying are about the same cost vs space and amenities wise.It’s almost always that way but buying will always be better if your planted and renting better when your mobile/unstable/indecisive.

Bought my first house at 26 in the midwest. Seems like if you live in the west coast and you didn’t have rich parents you’re gonna be grinding it out renting for a while.

Janice, you are not too old. Don’t sell yourself short. Put yourself out there, and with experience will come confidence.

Way to go Kevin. Keep grinding brother and checking off those goals.

These people are nuts for paying that kind of rent I pay 750 a month for my own cabin in California But this is rare

Housing prices are unlikely to significantly decrease until there's a substantial increase in housing supply. In the USA , there's a shortage of millions of housing units, and construction isn't keeping pace. The constant demand for housing, coupled with population growth, means that even a slight price drop attracts numerous buyers who quickly absorb the available supply. I'm considering purchasing affordable houses in 2024 and possibly venturing into stock investments. When is the best time to enter the stock market? Some people say it is profitable , but others say it's risky. Any advice?

those people don't realize if they move to a specific area in california what they pay for rent can be paid for a house mortagage , house mortgage are like $1600 , or even 3k is still worth it. The other is thing is that those people don't want to give up on their desires

I’m making just 50k a year working at a country club. Have a college degree that doesn’t make me much. I honestly just want more money. Hanging around people who have money changed me. Before I was okay settling for an average life but times have changed and now I can’t even afford to own a house. At age 30 my parents bought their first home, by 40 they bought a second home and used the first as a rental to cover the mortgage on the new home. I also live in California 🙄

Because I rent for $3600 and buying the same house would be $8k a month with $240k down! Does not make any financial sense!

I live in Taipei, Taiwan now. For this who don’t know it’s the most expensive in terms of per square foot in the world. But rent there is dirt cheap. I pay $700 a month for a 3 bedroom flat. To buy that same property will cost 400k-500k. So it’s a no brainer for me to rent. On the other hand, owning to live in the USA is not as attractive after I plugged in the numbers. 300k loan at 7% interest for 30 years you end up paying 720k. Add hoa, property tax, closing costs, and general maintenance, that 300k initial loan will end up being damn near or over 1 mil by the end of 30 years. And you pay off interest first then the principal amount. So buying property in the US to rent out rather to live there is a no brainer. I invest into mutual funds and rental properties while I rent dirt cheap myself in a foreign country.

You should have asked how much debt they owe

If I were rich, I would buy a house, rent it out, and then use that rent income to rent my own place

Man, Kevin is only 21?? Inspiring!

I swear he just said California has really good people.

The first guy surely has a KZfaq Chanel with the way he talks very professional easy to learn off.

$200K-300K/here in San Francisco, same 1/1 apartment for over a decade and would never buy in the Bay. Over the decade I’ve purchased 2 brand new homes in Clovis (3 hours away in Central Valley) that I rent, for less than the cost of a home here in SF. Most people here in SF rent (+70%) yet many make decent $….it’s just too overpriced. LA’s also overpriced

If you’re single renting makes more financial sense unless you really want 3 bedrooms to yourself. My rent is $1k a month and a house would be $3500 probably and then I’d be locked into living at that location. I have $2500 I can invest into the stock market or even HYSA whereas the first couple years of owning you’re paying $21k/yr in interest probably.

So this is who’s paying my mortgage. Keep hustling and thanks.

Did 3rd guy say he has a 12 year lease?! 5:53

I make about 150k a year and I REFUSE to pay $3k for rent. I drive a 19year old 350 Z and rent a room and am stacking my chips I live in California but I rent a room in the suburbs and work remote so my monthly nut is $3k a month. I’m saving so that went interest rates drop and prices come down, I’m able to put a higher down payment down for a cheaper monthly mortgage and that my friends is how you stabilize yourself. I’m curious to know how much credit card debt they have and if they have a savings. IT’S NOT ABOUT HOW MUCH YOU MAKE, IT’S ABOUT HOW MUCH YOU GET TO KEEP.

The return on a house after annual expenses is usually less than 2 percent. Owning a home is sometimes a pain in the a$$ and time consuming. I miss renting often. Its not throwing your money away. Its a contract for a service.

I bought my first house in Huntington Beach, CA for $65,000 - A simple older home 4bd 2 bath that needed a lot of upgrade work to make modern. Rented out 3 bedrooms to single guy friends for $125.00 per room. I preferred not having roommates but they allowed me to make the mortgage of $585.00. I encourage young people to purchase a home as soon as they can comfortably afford it. I bought too many homes over the years that put a big strain on finances and limited family vacations so I will not do that again.

In places like NYC, it's not even just the equity, it's better to buy just to stop the ludicrous rent increases each year. The rent increases will eventually eclipse your salary increases and eventually you won't be able to afford renting in NYC. At least if you buy when the interest rates are low you are pretty much locked in, with just very small 0.5% coop fee increases every few years.

These people are stuck on the California image. It’s a waste of life to be tied down to something you never own. Renting will never be better than owning. You can always find tenants. You can always refinance for lower rates and out back into home or buy another or save it or invest it. Renting is money that can’t come back to you in any way possible.

God damn JANICE!!!!!! Making me fall in love over here

'Oh, it is an advantage. This place has a pool so that is a plus.' You mean the pool you must share with hundreds of others, one that you can only use at certain times? As a child, I grew up in a house with an large inground pool in the backyard, with a large deck next to it. I shared it with no one but family and friends, not strangers. I could swim any time I felt like it. It was the life. I miss it.