In most cases, long term you will do better in the market than your return on a house / condo purchase. What this purchase does do is lock your housing costs in (somewhat) and get you to the point of owning your place. If you plan to only stay there a few years (under 5-7) it's not a great idea as the market could decline and you could end up selling at a loss. Buying and selling has a cost. If you do buy do your research well, either lean on someone local that really knows the area or use a buyer's agent that can tell you the best areas and where you would be best off buying. Real estate location matters and can affect the long term value greatly.