> Being a landlord has become a more attractive investment
This is changing as we speak due to the interest rate. These investments are less attractive if you can get a safe 4% or higher return without having to deal with tenants and maintenance.
This is changing as we speak due to the interest rate. These investments are less attractive if you can get a safe 4% or higher return without having to deal with tenants and maintenance.
So if I buy a house for $100,000, I get $4000 in rent per year? Or I get $4000 in my pocket after I use the rent money to pay the mortgage and property tax?
There are different ways to calculate returns: IRR, cash on cash, but it’s immaterial for this discussion. TLDR you want returns higher than you can get elsewhere easier.
(you must not just develop housing, you must lock it up from investors if you want to ensure long term affordability; capital is callous, uncaring, and voracious for returns)