Do You Consider a House A Liability or Asset??

Philippines
November 29, 2008 7:35am CST
I am quite confuse if it is really a liability or asser. But as I try to analyze, it can be consider as liability. Am I right?
2 people like this
5 responses
@sharra1 (6341)
• Australia
30 Nov 08
It can be both but it depends on what it means to you. If you own it outright it is an asset but if you owe more money than the house is worth because you borrowed too much and house prices fell then it is a liability. As long as you own more of the house than you owe in a mortgage it is an asset. I own my house 100% so it is an asset to me.
@bbsr13 (4198)
• India
29 Nov 08
Hello,Baron! I had constructed a house thirty years back and I considered it to my asset for the whole life.But now I consider it to be a liability for me because none of our children staying with us.They are all married and staying away from us and myself and my wife are alone living here.We are pretty old now and it is difficult on our part to maintain on daily basis.No servants are available for domestic works.So I am thinking for disposing off the house but the children are not willing.As such we are staying in the house just like watchmen.So it has become a liability for us.thanx.
• India
29 Nov 08
an house is definetly a asset...which we use for liability..i dont have any idea more about this..hope you will answer from other mylotters
• Canada
29 Nov 08
i beleive it can be both when you owe on it is considered a liability but is also an assest if you go in for a loan or something
@fedge098 (1331)
• Philippines
29 Nov 08
A house can actually be both an asset and a liability. An asset when you just own it and you do not have to pay for anything related to your house. You must have owned it through inheritance or a gift from people. On the other hand, a house can also be a liability. Most people avail of housing loans from banks or financial institutions and have to pay for it for as long as thirty years. This makes it a liability, home owners includes in their regular budget to pay for the monthly amortizations of their housing loans. Actually, I have the option to avail of a new house and pay it for a long time. But as of this moment I haven't done so because I know I have to pay for it, on a regular basis. Its just I am not ready for that obligation, yet. lol!