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The out of office responder is on. I am currently on a multi-day stopover in Lisbon on my way to Malaga, Spain. One of my oldest friends (we went to elementary school together in Toronto) is getting married there this weekend. They chose Spain because that's where they met (she is Parisian). They have an incredible love story and I'm looking forward to celebrating with them in a few days. The above photo was taken with my iPhone from Sky Bar. The green you see in the foreground is Av da Liberdade. Here is another photo from a different angle, where you can begin to see the water (Tagus). Its tree canopy is one of the most impressive that I have ever seen. Its grandeur (largely its width) is quite a contrast against the small and winding streets in the rest of Lisbon. And it may be one of the only level places in this exceptionally hilly town. I'm a big fan of Lisbon, already.
I’m in Philly right now for a good friend’s wedding.
I always feel nostalgic when I come back to this city. Some of my most memorable years were spent here. I grew a lot in those 3 years. I also think that Philly is a highly underrated city – such an intimate urban scale.
I’m staying at the newly renovated Warwick Hotel in Rittenhouse Square. The lobby is beautiful, as are the corridors, but the rooms already feel a bit a dated to me. However the Barcelona Chair in my room is a welcome addition. That thing will never go out of style.
My hotel happens to be two blocks away from my old apartment at 17th and Spruce. So I decided to do a walk-by while I waited for my room to be ready. My roommate and I had the entire second floor of this building:
I was at a good friend’s wedding last night (congratulations again to Adrien + Rachel!), and one of the topics that came up at our table was whether it is better to own or rent your home. Now, in North America, conventional wisdom would suggest – almost mandate – that you have to own your place. If you’re still a renter, well then you’re “throwing away your money” my friend.
But are you really?
A big part of the value of owning your home is that it’s forced savings. Every month when you make those principal and interest payments, you’re paying down your mortgage and socking away money for the future. And this can be a great thing for a lot of people, particularly if you’re not disciplined enough to save otherwise.
But when you own a home, you’re also spending time and money on maintaining that home, and you’re also tying up capital that could be used elsewhere. So consider this: what if, instead of putting your savings towards a downpayment, you simply continued to rent and created an investment portfolio that you then contributed to on a regular basis just as you would a home?
Depending on your assumptions, renting could turn out to put you further ahead financially. Here’s an example of that scenario from the Globe and Mail.
Similarly, I remember being told in business school that companies that own their own real estate tend to under perform those that do not. And the rationale is that owning lots of real estate ties up capital that could otherwise be reinvested in the core business. In other words, if your core business is making widgets, then invest your money in making better widgets, not in real estate.
But this is not to say that everybody should rent. Obviously I’m a big believer in real estate. And for a lot of people, owning may make sense. This post was really just to say that the owning vs. renting decision may not be as black and white as you might think.
Image: Flickr
The out of office responder is on. I am currently on a multi-day stopover in Lisbon on my way to Malaga, Spain. One of my oldest friends (we went to elementary school together in Toronto) is getting married there this weekend. They chose Spain because that's where they met (she is Parisian). They have an incredible love story and I'm looking forward to celebrating with them in a few days. The above photo was taken with my iPhone from Sky Bar. The green you see in the foreground is Av da Liberdade. Here is another photo from a different angle, where you can begin to see the water (Tagus). Its tree canopy is one of the most impressive that I have ever seen. Its grandeur (largely its width) is quite a contrast against the small and winding streets in the rest of Lisbon. And it may be one of the only level places in this exceptionally hilly town. I'm a big fan of Lisbon, already.
I’m in Philly right now for a good friend’s wedding.
I always feel nostalgic when I come back to this city. Some of my most memorable years were spent here. I grew a lot in those 3 years. I also think that Philly is a highly underrated city – such an intimate urban scale.
I’m staying at the newly renovated Warwick Hotel in Rittenhouse Square. The lobby is beautiful, as are the corridors, but the rooms already feel a bit a dated to me. However the Barcelona Chair in my room is a welcome addition. That thing will never go out of style.
My hotel happens to be two blocks away from my old apartment at 17th and Spruce. So I decided to do a walk-by while I waited for my room to be ready. My roommate and I had the entire second floor of this building:
I was at a good friend’s wedding last night (congratulations again to Adrien + Rachel!), and one of the topics that came up at our table was whether it is better to own or rent your home. Now, in North America, conventional wisdom would suggest – almost mandate – that you have to own your place. If you’re still a renter, well then you’re “throwing away your money” my friend.
But are you really?
A big part of the value of owning your home is that it’s forced savings. Every month when you make those principal and interest payments, you’re paying down your mortgage and socking away money for the future. And this can be a great thing for a lot of people, particularly if you’re not disciplined enough to save otherwise.
But when you own a home, you’re also spending time and money on maintaining that home, and you’re also tying up capital that could be used elsewhere. So consider this: what if, instead of putting your savings towards a downpayment, you simply continued to rent and created an investment portfolio that you then contributed to on a regular basis just as you would a home?
Depending on your assumptions, renting could turn out to put you further ahead financially. Here’s an example of that scenario from the Globe and Mail.
Similarly, I remember being told in business school that companies that own their own real estate tend to under perform those that do not. And the rationale is that owning lots of real estate ties up capital that could otherwise be reinvested in the core business. In other words, if your core business is making widgets, then invest your money in making better widgets, not in real estate.
But this is not to say that everybody should rent. Obviously I’m a big believer in real estate. And for a lot of people, owning may make sense. This post was really just to say that the owning vs. renting decision may not be as black and white as you might think.
Image: Flickr
It was palatial, especially given the bargain price and its location in Rittenhouse Square.
The graffiti you see above is located on the north wall of the kitchen. I think that’s a recent addition. The fire stair you see provided access to the roof of the building (as well as the street, I hope). I’m not sure we were supposed to go up there, but we obviously used it for parties.
Grillmaster Deli is still next door. They kept me fed when I was studying at home and too busy to cook. That was often. And across the street is the Italian restaurant with its sidewalk patio that I used to look out onto from my bedroom.
This walk-up apartment was by no means fancy. Though it did have ensuite laundry, which was a nice improvement from my previous place. But it was unabashedly urban. My kind of place.
It was palatial, especially given the bargain price and its location in Rittenhouse Square.
The graffiti you see above is located on the north wall of the kitchen. I think that’s a recent addition. The fire stair you see provided access to the roof of the building (as well as the street, I hope). I’m not sure we were supposed to go up there, but we obviously used it for parties.
Grillmaster Deli is still next door. They kept me fed when I was studying at home and too busy to cook. That was often. And across the street is the Italian restaurant with its sidewalk patio that I used to look out onto from my bedroom.
This walk-up apartment was by no means fancy. Though it did have ensuite laundry, which was a nice improvement from my previous place. But it was unabashedly urban. My kind of place.
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