Monday’s Wall Street Journal attempts at length to answer that eternal question: Why isn’t my home that great an investment? The short answer: Homes are rarely as good an investment as the popular imagination assumes. The longer answer: Homes can be a good investment, but there’s a lot of variables.
New York City homeowners have an advantage over a lot of their American brethren. Homes here tend to appreciate in value faster. Still, think of the property taxes, the renovations, the insurance, the maintenance costs if it’s a condo or a co-op–you get the picture. No matter what sort of homeowner you are, you face uncertainties if you treat your home as some sort of retirement account or investment:
Anyone up for renting?
– Tom Acitelli