Hi everyone,

I'm 42 years old and have owned 3 different apartments in the past. Because of a failed business and a family member who needed assistance, I am just now feeling like I am getting out of financial hell and am back on track. I have a significant student loan (about $100k) but no other debt. Just got a great job making more than I have in my entire life, have $10k in emergency savings, $16k in retirement funds and my current housing costs are only 35% of my take home pay while living in NYC.

Question: If I never plan to have children, why should I ever buy an apt or house?

I feel like I just need money for long term care when I'm older, other health costs, and living expenses. I probably won't even retire until I'm 70-75, which I'm ok with since I love what I do. Wouldn't I do just as well continuing to save and diversify into bank accounts, 401k's, etc.?

Is someone forcing you to buy a house?
If you don't want one, don't buy one. I'd pay off the student loans, and boost your retirement. 16k at your age isn't very much, but if you plan on working until you keel over, does it really matter? Why save at all?

You have to figure out what you want for your life and then you can attempt to reach some goals. If you don't have goals, enjoy doing what you're doing!

Don't WANT to own a house necessarily, but want to have good position when I am old and sick. I didn't think owning a house would help me until I keel over, but I wanted to hear from others to check in with myself a bit.

They say that buying a house can be a hedge against inflation because the payments are fixed over the term of the loan, but if you're in a rent controlled flat in NYC, I suppose that's not an issue for you.

There is nothing inherent about kids that require an owned house, nor about owning a house that requires kids.

Generally speaking, owning has lower costs, given a long enough time frame. So even single people who have zero children, cats, spouses, and houseplants could buy a house. The trick is that you have to stay in the house for some number of years before you reach the breakeven point, after which the average yearly cost of owning is less than the average yearly cost of renting. Note that it's theoretically possible, especially in weird markets like NYC, for that breakeven point to be longer than the lifespan of average human.

Thanks stannius, do you know where I can find a formula to help me determine when my breakeven point is?

Thanks stannius! The calculator works great. Wish it could tell me what would happen if I wait to buy for 5 years.

The amount of house you buy (or rent) should depend on how much space you need. The same would be true if you had kids.

Buying or renting depends on the particulars of your neighborhood and how long you plan to stay. In different situations buying might be cheaper.

I think I'd keep renting. If nothing else, pay back the student loan first and then decide.