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Almost 100% of people misunderstand home value appreciation
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Date: February 11th, 2026 6:11 PM Author: ....;..;...;;;.....;;......;; Typically the entire increase in value is due to the land. The house itself depreciates or stays with inflation at most. Post Covid was not the norm.
If you build a $1,000,000 (building cost) house on a $300,000 piece of land, all your growth will be from that $300,000. Even if the land value doubled you’ve only gone up 23%.
This is why the the S&P destroys real estate long term |
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Date: February 11th, 2026 6:22 PM Author: ~~(> ' ' )> Yes (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664131) |
Date: February 11th, 2026 6:22 PM Author: woah (hitler did nothing wrong) S&P destroys real estate only if your bank will give you low cost 5x leverage. 20% down but you keep 100% of the gains at attractive costs of capital relative to equities or options. (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664130) |
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Date: February 11th, 2026 6:43 PM Author: Buy your next house instantly with Zellow! (Guy with 0% mortgage) (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664167) |
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Date: February 11th, 2026 6:51 PM Author: woah (hitler did nothing wrong) I'm talking about rental property but the point still stands. If you rent, you're paying profit on top of the cost of the landlord's ownership.
The only optimal solution is to tedpill and invest 100% of your salary in low cost index funds while you live in the woods with no electricity or running water. |
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Date: February 11th, 2026 7:14 PM Author: ....;..;...;;;.....;;......;; The math still doesn’t work plus you can trade on margin (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664217) |
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Date: February 11th, 2026 10:16 PM Author: woah (hitler did nothing wrong) You can't get margin cheaper than a conforming 30 year fixed mortgage (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664677) |
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Date: February 11th, 2026 10:18 PM Author: Madison Avenue Lemming Enslaved to Conformity You also get $500K in tax-free capital gains on a primary residence, and you need someplace to live anyway and rentals are shitty. (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664681) |
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Date: February 11th, 2026 6:39 PM Author: coquettish nigress Oversimplified, but generally accurate (setting aside the leverage issue, which OP ignores)
This is why it's retarded to buy a home that's less than 20 years old. |
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Date: February 11th, 2026 7:15 PM Author: ....;..;...;;;.....;;......;; I don’t ignore anything.
You can get a loan for margin trading too.
Leverage doesn’t negate my OP |
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Date: February 11th, 2026 10:45 PM Author: Kenneth Play (emotional girth) it sure seems like index funds are a lot easier and more certain.
all the RE stories i hear are like "it's easy but you've gotta be a shark and buy the right hyperlocal properties and either self-manage or pay someone else to, and not get fucked by bad tenants, or any of the other random things that can explode with real estate and cost a ton"
i'd be happy to be wrong if there was an easy way for me to get into RE and profit |
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Date: February 11th, 2026 10:47 PM Author: Rod Taylor circa The Time Machine / 101 Dalmations (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664738) |
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Date: February 11th, 2026 10:49 PM Author: cowgod If you already have money, of course you want it in RE. If you were a trust fund kid in today's world, would you rather inherit a big family business or a ton of real estate? literally no matter what bullshit happens with technology or "the dollar" or "AI," people will live in places and go to other places. (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664752) |
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Date: February 11th, 2026 11:02 PM Author: Kenneth Play (emotional girth) what about just buying REITs? or is there a networth where you think you should buy a rental property or whatever (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664801) |
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Date: February 11th, 2026 10:46 PM Author: ..;.;:.;.;..:..;,;,;. Property taxes eat you alive. The billionaire wealth tax is real for real estate and it never stops! (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664735) |
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Date: February 11th, 2026 11:00 PM Author: Theseus I don't pay any property tax on my paid off primary residence. It's awesome (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664793) |
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Date: February 11th, 2026 10:48 PM Author: Covid was a Hoax the real way to look at it is that your monthly payment is your rent and whatever hypothetical residual value you or your kids get out of selling it is a bonus that has to be netted by the cost of renting somewhere else. (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664746) |
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Date: February 11th, 2026 10:55 PM Author: cowgod my half brother is Bald and made a ton of money in RE. it's a "job." you have to out-work or out-smart or out-jew or out-luck the next guy if you want to get ahead. 1031 exchanges, carried interest, and REP status all help. also, timing. Graham Stephen (that Short-looking guy on youtube) can't find a single thing to invest in rn. there might be a Crash this year imo. Discuss. (http://www.autoadmit.com/thread.php?thread_id=5833801&forum_id=2\u0026mark_id=5310764#49664774) |