Mw99 wrote:
If I buy a house, I don't want to pay property taxes. Add it all up and money you spend on taxes is like paying a rent, so there's your benefit of owning a house. And if you don't pay taxes, you lose the house, so the house was never really yours to begin with. Life sucks, really. It's impossible to live in peace. Ah, and did I mention insurance costs? (They are mandatory)
Renting tends to be a lot more expensive than paying taxes on a house you own, all things being equal. For instance insurance and taxes on a ~$150-200k house will be around $2000-2500/year, while renting in the same area tends to be around ~$12000/year. Like others have mentioned, the taxes are used to run what are generally considered to be necessary and useful public services. ~$10k/year is a pretty big difference IMO. Furthermore, an individual can modify their own home in order to reduce energy consumption and costs, something a renter cannot do. Solar energy for instance, depending on regional incentive program, tends to be about half the cost of the U.S. grid average over it's warrantied lifetime of 25 years, and is almost certainly less than that over it's entire useful lifetime. Insulation, passive solar heating, and active management can reduce heating costs to next to nothing. While taxation/insurance are definitely a significant cost, they aren't something to focus on compared to other similar costs that can be minimized at little to no loss on the home owner's behalf. That said, there are also instances where an individual can get breaks on taxes and the like depending on circumstances, so keep an eye out for them. My grandfather is paying the same in taxes he did in 1986 or so even though inflation and a quadrupling of property values have resulted in much higher bills for almost everyone else due to taking part in some legislation designed to encourage home purchases.