Why is residential property a good investment?

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I can’t really wrap my head around it, you can have a tenant in there that maybe covers the mortgage, but it’s not really a good investment if you’re not getting a return?

Even if you use 500k to buy a property cash, wouldn’t that money be better off in the market?

In: Economics

28 Answers

Anonymous 0 Comments

Imagine a family member dies and leaves me their house.

If I sell it, I make the value of the house.

If I keep it and rent it out, then I make money from it every month, as well as continuing to own it and (likely) watch the value grow over time.

Thus, keeping it is an investment.

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