Why would you buy a house with cash?
If you have a stable income and can earn more by investing your money, why would you use all your cash to buy a house?
- You were able to finance your house with a low rate of 2-5%
- You can earn 6-10% each year investing your money
For a $1M house you could put 200k down and invest the other 800k instead of using all your cash on the house?
Not to mention the liquidity aspect of tying up all of your cash in a house.
So why do people buy a house with cash?