[Clemenza]

Let’s not forget that a minority of the population is comprised of nuclear families. This isn’t the 1890s-1970s anymore. Seeing homeownership as an investment opportunity above other things is not new and has been common my entire life (I was born in 1976).

[Alberta's Child]

The irony is that homeownership is an awful investment opportunity in many respects. When I bought a home last year it would have violated every sound practice I apply to prospective investments:

1. I don’t borrow money to invest.

2. A home is a very illIquid asset.

3. A home has a negative cash flow — which means it functions more like a LIABILITY than an ASSET.

4. There’s no diversification in a home. As one astute real estate developer client once told me: “If you want to be a real estate investor, you’re better off investing in a REIT.”