Hello I have some question's about living in DR I plan on moving to DR in five year's after I retire and lookin at Santiago to stay .My questions are rent or buy . Can I get the pro's n con's on renting or buying . Thank's
- Thread starter bigwhiskey
- Start date
Rent or Buy
Apparently TIME magazine has an article in the new issue about house ownership.
Among other things:
Switzerland is one of the richest countries in the world -- they have the highest proportion of renters
Spain is one of the poorer countries in the world -- they have the highest percentage of ownership.
The issue is presented and discussed..... I have yet to read it -- got the synopsis from the TODAY show
WW
Among other things:
Switzerland is one of the richest countries in the world -- they have the highest proportion of renters
Spain is one of the poorer countries in the world -- they have the highest percentage of ownership.
The issue is presented and discussed..... I have yet to read it -- got the synopsis from the TODAY show
WW
Perhaps they are talking about Europe.... we'll need to read the article to get it right:glasses:
WW
I think that even in 5 years, it will still be true to recommend to RENT for at least 6 months to 2 years before even considering to buy.
Spain is certainly NOT one of the poorest countries in the world, but maybe of central Europe (what was considered Europe only a few years ago).
But yes, it's true... Switzerland is a rich nation and home ownership has always been low (or reserved to a few extra rich and mostly insurance companies and banks), while until not too long ago, Spaniards where a nation of home owners (similar to the US, only that often it was inherited home ownership). Spaniard have fallen head on into the credit trap, they are so indebted there is no mathematical way most Spanish households could pay back their amassed consumer debt on their salaries which staid low because their comparative (FR, DE... etc) low productivity... people are loosing home ownership over that fact... rapidly.
I remember, when I was in Ecuador, it was virtually impossible to rent anything else but a shabby apartment. I don't know how that changed over the last 15 years, but I was surprised to find that HERE in the DR, it's still pretty easy to find rental at ALL social levels.
... J-D.
Spain is certainly NOT one of the poorest countries in the world, but maybe of central Europe (what was considered Europe only a few years ago).
But yes, it's true... Switzerland is a rich nation and home ownership has always been low (or reserved to a few extra rich and mostly insurance companies and banks), while until not too long ago, Spaniards where a nation of home owners (similar to the US, only that often it was inherited home ownership). Spaniard have fallen head on into the credit trap, they are so indebted there is no mathematical way most Spanish households could pay back their amassed consumer debt on their salaries which staid low because their comparative (FR, DE... etc) low productivity... people are loosing home ownership over that fact... rapidly.
I remember, when I was in Ecuador, it was virtually impossible to rent anything else but a shabby apartment. I don't know how that changed over the last 15 years, but I was surprised to find that HERE in the DR, it's still pretty easy to find rental at ALL social levels.
... J-D.
If I am correct, Switzerland is still THE country with the most strict policy regarding bank secrets and I think you cannot deduct taxes from a down payment of a house you buy in Switzerland, hence more renting because its not worth the investment to buy...I can be wrong of course.
I, too, could be wrong here..... but there is something about Switzerland and taxes that doesn't connect.
Deducting from taxes ??? What taxes ??
Are the taxes in Switz high? I thought it was tax free
WW
Well yes, excuse me, my expression wasn't that good. Switzerland is tax free but I am not sure how that goes with real estate in that country. For example when you buy or build a property in Belgium with a loan on the bank which every body does in Belgium for following reason. You can deduct on your personal yearly tax letter a certain amount of the credit percentage you pay upon the actual amount of the loan. Am I making any sense here now?
Seems fairly difficult to make a strong financial argument for buying over renting here.
There are abundant nice properties available to rent all over the country for less than a 4% cap rate.
Property here is easy to buy but very, very difficult to sell...
There are abundant nice properties available to rent all over the country for less than a 4% cap rate.
Property here is easy to buy but very, very difficult to sell...
Yep, Amen to that, CB! Especially if you compare effective rental income to some "asking" prices (hint, hint... ).
Switzerland is not a "tax free" country. They pay comparatively to the surrounding countries and the US, very little income tax... and the top income tax bracket is or was around 30%... which attracts a lot of high income people like sport, movie and music stars which have exorbitant royalty income.
There is a tax on property and a very, very small tax on capital.
The wasn't a sales tax until... maybe... 15 years ago... it's still lower than anything nearby.
People in Switzerland to invest in Real Estate and take out mortgages for tax reduction purposes.
The nearby Principality of Liechtenstein has a still much more secretive banking system than Switzerland and so does, to a certain point Luxembourg.
... J-D.
Switzerland is not a "tax free" country. They pay comparatively to the surrounding countries and the US, very little income tax... and the top income tax bracket is or was around 30%... which attracts a lot of high income people like sport, movie and music stars which have exorbitant royalty income.
There is a tax on property and a very, very small tax on capital.
The wasn't a sales tax until... maybe... 15 years ago... it's still lower than anything nearby.
People in Switzerland to invest in Real Estate and take out mortgages for tax reduction purposes.
The nearby Principality of Liechtenstein has a still much more secretive banking system than Switzerland and so does, to a certain point Luxembourg.
... J-D.