Neither option is actually insane, but the prevalent opinion that renting is an unacceptable waste of money that should only be utilized as a last resort is not correct.
I don't live anywhere near SF and I rent because I got a good deal on the monthly payment, I have a great landlord who fixes all issues promptly (which is awesome for me, since I am not much of a fix-it guy) (and relatedly, I'm not that interested in making renovations at this stage), and I don't want an asset that'll tie me down since I'm not sure I want to live in my current living area forever.
People constantly bug me to buy a house, but rent works out fine for us for now. I imagine at some point I will want the freedom to modify my home, but that'll be a little ways down the road, and I'm content "throwing my money away by not building equity" at present, especially since I don't necessarily consider significant real estate appreciation a forgone conclusion, as others mistakenly have (see: 2008) and many mistakenly continue to do.
I live in a duplex in the Bay Area, and I know for a fact that both tenants pay ~65% of the monthly mortgage. The landlord is making a healthy profit every month -- that's the real reason that I have an issue with renting.
That being said, I will not buy in the Bay Area. I'll move back to Boston and buy a condo or house there. Parts of the Bay Area and the Boston area benefit from proximity to universities, and see much less fluctuation in the real estate market. Personally, I miss seasons -- so, I'm not going to spend more money for "better weather".
I don't live anywhere near SF and I rent because I got a good deal on the monthly payment, I have a great landlord who fixes all issues promptly (which is awesome for me, since I am not much of a fix-it guy) (and relatedly, I'm not that interested in making renovations at this stage), and I don't want an asset that'll tie me down since I'm not sure I want to live in my current living area forever.
People constantly bug me to buy a house, but rent works out fine for us for now. I imagine at some point I will want the freedom to modify my home, but that'll be a little ways down the road, and I'm content "throwing my money away by not building equity" at present, especially since I don't necessarily consider significant real estate appreciation a forgone conclusion, as others mistakenly have (see: 2008) and many mistakenly continue to do.