/biz/ - Business & Finance

>>57932943
>why would you want to deal with rentoids
You wouldn't. You get a property manager.

>for a 5% yield
LOL unless you are really fucking up somehow yield is much more than 5% with all things considered. Rental income, principle paydown by the tenants, inflation induced debt destruction, depreciation tax write offs, and appreciation all contribute to the performance of a real estate portfolio. And because it's all with leveraged money ROI is insane. In addition, there's opportunity to further invest capex in order to force appreciation which can then be immediately realized with a cashout refi. Securities have no analog to this.

When the markets do go bad, the value of the materials, cost/time to replace, and value of the land precludes the asset from ever going to zero. With securities on the other hand, a correction could drive those paper assets to zero which devastates the investor. If they were bought on margin it's especially devastating. Many investors get wiped out this way. With real estate, as long as it's renting it doesn't matter what the zestimate is.