Why You Should Buy & NOT Rent Your Own Home ⛔️
Rob Moore compares UK renting versus buying: over a mortgage term, renters spend £200,000 more on average, and £550,000 more in London. He shows how inflation erodes mortgage debt while property values rise, and calculates that investing the rent premium at 5-12% returns yields £350k-£500k+ in additional wealth.
Chapters
Why you should buy and not rent your own home. Now all these big American influencers shaming anyone who buys their own home, calling it a liability. Not sure how living in your own home, like the one place of solace and calm where you build your empire and raise your family, not sure how that could be called a liability even if it costs you money. Some things that cost you money are still an asset to you. Now look, I get that it's not a hard asset like a rental property that produces income is a hard asset. Your own home might cost you money or it might actually make you money. But look, there's new data out which I think proves this without a shadow of a doubt. And I'm going to come to the arguments in a moment, but I'm going to get you straight in with the data. So in the UK, it will cost you on an average home more than 200 grand to rent versus buy it compared to the average mortgage. So all these American influencers that are saying your home is a liability, it costs you money. Well, actually it costs you $200,000 more to rent. Duh! And all rent is dead money, but your own home, some of the mortgage is dead money, but some of it is paying off the house. So not only does it cost you $200,000 more on average to rent a home. But of course, once you've paid off the home, you own the asset, and the asset's probably going up, what, every 12 to 15 years it's probably doubling. So you get a £500,000 house and in 12 to 15 years it's £1 million, another 15 million years it's £2 million, another 15 years it's £4 million, and it cost you £200,000 less just over the sort of 20-25 year period. Pretty freaking conclusive to me. Now look, I get not everyone can afford to buy their own home immediately right now, but you can store and save money. You can aspire to own your own home. You could borrow some money off friends or family to get involved if you speak to a good broker and can figure out the logistics of that. So there's always options as long as you've got a desire. Okay, now look, if you take that £200-odd grand that it costs more in rent than to buy, and then you went and just put that in the stock market and you only got 5%, over the time frame, that's nearly £350,000. Now if you've got a 12% return like the stock market's given you over the last 15 years, that's going to be more than half a million quid difference between renting and buying. By the way, it's £550,000 in London. So the difference between renting your own home and buying it over a full mortgage term in London is more than half a million quid. So even at the small average, that's £30-odd a day it costs you extra to rent your own home. And what's happening to rents right now, by the way? Oh, they're going up. Oh, and what's happening to mortgage interest at the moment? Oh, well, it's quite low. So what do you American gurus think of that? Maybe it's different in America, but you know, we're in the UK here, so it's much more cost-effective to buy your own home for loads of different reasons. You buy your own home, inflation's paying your mortgage off for you. You buy your own home, inflation's pushing the value of the property up for you. You rent your own home, inflation's putting the rent up and the cost up for you. You buy your own home in today's money, rent your own home in today's money, it costs you 200 grand plus more. And with inflation, that will go up and up and up. In London, it's half a million. So at the very least, aspire to get your finances in order such that you could own your own home. It gives you protection, security. You'll have equity that you could use for a rainy day. You can raise your family there. You can now run your office there and run that through your business. You can build your whole life even if you want to travel around. So financially, even though these gurus are saying, oh, your own home is a liability, actually it's a lot cheaper than renting. So there you fucking go. So if you want actual real money knowledge and experience, not like advice from all these American gurus who actually don't know the UK facts, if you want real experience of 20 years, I recommend you join Money School. Money School is my global online school that's disrupting the main education system in terms of what's taught about money. There are 12 fundamental rules and laws of money that if you follow them will make you rich and if you break them will keep you broke. And they're taught on loop inside money.school. There's hundreds of hours of courses, resources, and masterclasses to make, manage, and multiply money. And there's loads of BS money myths debunked like this one inside Money School. Costs less than 50 pence a day, cancel anytime, no ongoing contract, hundreds of hours. Go in, gobble it all up, and get some proper financial knowledge. So the link is money.school. I'll just share the link with you. money.school. School. There is no risk to join because it costs you less than 50 pence a day. I spend more on coffee in a couple of days than it costs you a whole month's membership. You can go in and gobble up all the content, and if you can catch me up and you've consumed it all, you can cancel. I don't want you to pay unless you're getting good value. And I've got some bonus masterclasses I'll share with you now if you join right now. So I did a 3-hour money mastery series, a more advanced series on money and how to master it with one of the top influencers in the world. I gave it to him, I recorded it for him, for his community, big community, but I retained the IP and the ownership. That's inside Money Hub School. So I had to go to the next level and become a money master like the greats over history. You know, the pound-for-pound billionaires, the pound-for-pound richest people in the world, studying and learning from them. And also my journey of doing a few hundred million in sales. So that's inside Money School if you join now. I also did a 15-hour money mastermind university where if I was given free rein to teach money in the school and education and university system. I teach you these 12 fundamental laws of money that are guaranteed to make you rich because they make everyone rich. Because all the rich follow these principles, these universal principles. So I did a full 15-hour kind of online degree on that. Not official degree, but you know, my Rob Moore degree. You can get that as a special bonus if you go now and join at money.school. Also, in a couple of weeks' time, I'm doing an exclusive 3-hour masterclass for Money School members on how to build a 6, 7, or 8-figure information business. So I've got an information business that's done 9 figures, and for the first time ever, I'm going to share my framework, my step-by-step system, how to start it low cost, high speed, high profit margin, no overhead, no stock, no premises, no staff, just information into income, content into cash flow. So it's all inside money.school because there's these American influencers saying you should rent and not buy, and your own home is a liability and an investment property is an asset. Well, here's another thing. You can go and get a few investment properties and use the income to pay for your mortgage and then your own home becomes free. I'm actually doing a piece of content on that later. So I actually think it is much better for— well, it's proven. Data shows financially it's much better for you to buy your own home in the UK than it is to rent. It costs you more than 200 grand more on average to rent. The opportunity cost of then investing that could cost you 400 or 500 grand. In London, it's 550, so the opportunity cost of that could be a million. Also, inflation pays your mortgage down for you, but it pushes the cost of your rents up. Most people don't understand that. Seems like the big American gurus don't understand that too. But it could be different in America, who knows, all the money laws could be different in America. I know nothing, who am I? I'm just Rob Moore. I'm just the author of one of the top-selling books in the world on money called Money. I just have more than 12,000 lifetime members inside money.school. I've just been doing business 20 years. What do I know? Anyway, see you inside money.school. I really appreciate you following my work. And make sure you get better financial knowledge and guidance and support from people who've been there and done it. You know, I became, I had a 7-figure net worth before age 31. That was 158 years ago. Thanks for supporting me. And remember, it costs you much less to own your own home than it does to rent. The data is there for everyone to see if they want to see it.
