Assets vs. Liabilities
4 years ago
I decided on a small apartment building instead of a house or condo because the real estate prices in SoCal are just too outrageous for me to be able to afford anything reasonably decent any time soon. I figure by buying a small building I can live in one unit and rent out the rest to pay for the mortgage on the place.
On top of that, there’s the author who wrote the book, Rich Dad, Poor Dad who says that people confuse buying a home with being an asset, but it isn’t because it doesn’t make you any money and thus is a liability.
If I were to buy an apartment building, it would be an asset since I would be receiving rental income.
