Image via Wikipedia
Actually there is nothing wrong in purchasing a house and lot or even a car. It only becomes wrong when you purchase without carefully examining your financial capacity to pay.
It is not bad to borrow money if you can pay. Borrowing with a well-studied plan and a payment timetable ensures that you will have a good debt. It makes money that does not belong to you work for you. Borrowing assumes that you have completely understood all the responsibilities involved and you have analyzed your competence to pay.
Believe it or not that most income earners rush to buy homes just because they have enough money for the down payment. This general behavior appears to apply to almost all cases where people buy hard assets such as a house and lot, a car or just about any appliance they want to own. They forget the need to consider the cost of borrowing and of ownership.
I know a house is a home. All of us dream of owning a house. It is not to be taken strictly as a financial investment decision. Buying a house for you to live in is a long-term commitment. And for places where access to public transportation is difficult, it is also good to own a car. But very few can pay for it in cash. So to most, borrowing is necessary.