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Here's what most people don't realize about the home you own:

The idea was that purchasing a home is an investment. But the home you own is not an investment. An investment pays you money. Rental property is an investment. The house you live in is a liability, which increases proportionately with its size.

9 posted on 05/10/2008 6:00:49 AM PDT by moneyrunner (I have not flattered its rank breath, nor bowed to its idolatries a patient knee.)

"The idea was that purchasing a home is an investment. But the home you own is not an investment. An investment pays you money. Rental property is an investment. The house you live in is a liability, which increases proportionately with its size. "

While not an investment in the usual sense of the term, a home does tend to increase in value and is not really terribly different from a stock that doesn't pay a dividend. Many folks have funded their retirement by the sale of their primary residence and downsizing or even (shudder) a reverse mortgage.