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The week's question
In March 2025, in the thread "Re: OT, out", Umm asked the members: "Do you think it is because America is made up of magical soil that makes businesses based in America magically profitable?" This week it is put to everyone again. The button below opens the small thread re-asking it - read what others have said so far, then give your own answer as an ordinary reply.
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Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
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Author: Knighted ✧  😊 😞
Number: of 22351 
Subject: Re: OT: Berkshire or mortgage
Date: 06/02/23 10:24 PM
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I actually did just that - paid cash for a house for the first time, raising the funds by selling BRK and some other investments.

My rationale for doing so mirrors DTB's.

For me, it comes down to the simple equation of (highly conservative) expected BRK return minus current interest rates on a mortgage, and taxes too.

That difference was not large enough right now to sway me, but that could certainly change in the future.

The only other thing I'd add is that paying cash now does not preclude you from taking out a mortgage later.

You'd still have the flexibility to take out a mortgage and deploy the equity in your home into stocks if/when rates drop significantly lower, and/or BRK becomes even more attractive in price.
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This community has written 21,861 posts about Berkshire Hathaway. The article-length ones it recommended most:
BRK: Why Not XOM? · 62 recs · 2024
Second quarter comments · 60 recs · 2023
Berkshire's Profit Contributors · 58 recs · 2023
Summary of 2Q 2026 · 55 recs · 2026
3Q Summary · 53 recs · 2024
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