Comment: If you buy it...

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If you buy it...

Here are the things you can count on:

The purchase price of the home remains the same even as inflation goes up.
The amount owed on a fixed interest loan will remain the same even as inflation goes up.
Rent rates tend to go up as inflation goes up.
House prices tend to go up as inflation goes up.
At $25k, you should be able to pay this off pretty rapidly, ensuring that you will probably have a roof over your head as long as you can pay the property tax thieves.
There are a lot of worse ways to invest your money.

Here are the bad things you can count on as well:

Real estate, just like any other commodity is subject to price volatility both up AND down.
Costs of repair will go up as inflation goes up. The plumber won't get any cheaper as his cost of living increases. Might want to learn a few home maintenance skills
Property taxes will probably go up as government fiscal irresponsibility goes up (same with inflation).
Utility costs will go up as inflation goes up.
There are a lot of better ways to invest your money.

Don't take that last statement as saying that real estate is a bad investment, quite the contrary, actually. It's just there are some investments that provide higher rates of return. Some investments carry less headaches. With an investment like gold, you aren't guaranteed a roof over your head but no one is abandoning their gold, either. On the other hand, houses get abandoned as people can't afford to pay and move in with other family members, into apartments, etc. So, theoretically, it is possible that in a severe economic downtrend or hyper-inflation, there would be enough available housing inventory to be able to still buy a home on the cheap.

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