<prompt> Human: ELI5; why is owning better than renting?Longer version - we save a crap-load of money towards retirement, low-cost index funds. That is, our assets are highly diversified.Owning doesnt strike relevant chords with me, but FI does. That is, the point of saving for retirement is to have an earlier date when we no longer have to work for a wage.Weve been renters, but I wonder if owning could be wiser. Here are the pluses and minuses as I understand them: Renting gives flexibility -- we could move to portland tomorrow. Renting is lower-risk - if the house burns down, we get a new place. Buying makes our total portfolio greatly non-diversified. Instead of having most of our money in index funds, most of our money would be in a single piece of real-estate. Buying means in 15-30 years, no more rent. We can sell it and buy another one, and maintain our established equity. Buying has tax deduction implications.Seems like for the short-run bet, its always rent. But for a long-term bet and for FI, buying becomes optimal. Whatm I missing? Does buying allow a leverage superpower?Edit: Conclusions are along the lines of: Buying locks in prices, such that inflation matters less. Buying reduces variability in costs of living Buying is debt, and borrowing at 3 may be a good idea. Rental properties can have 10 returns !, thanks to leverage. This is always a close decision, as the market is largely efficient COAs are bad. Due to closing costs, buying is a commitment. That is, the transfer of property costs money.I think thats a basic, broad summary. Im sure I missed some, but that seems to be it.  <response>: The goal of buying usually is setup so that by the time you are retiring, you no longer have a home payment. The monthly savings provided usually covers off the lower income in retirement. That way you can continue your quality of life. It really comes down to what you want in life. If you want to have kids and settle in an area and call it home for 10 years it makes sense to buy. If you plan to switch jobs often and move around a lot, I would suggest a rental. 