Importantly, it doesn't raise your rent 3-10% every year.
Your property tax & insurance (usually less than 1/4th of your payment) goes up 2-3% (in most places).
Your property tax & insurance (usually less than 1/4th of your payment) goes up 2-3% (in most places).
Heh, or in my case: 30% this year.
https://smartasset.com/taxes/what-is-a-homestead-tax-exempti...
OP's original point still stands. Real estate in America is designed to have many economic advantages for wealth accumulation and preservation. You might even go as far as saying the economic advantages of real estate are a byproduct of regulatory capture
This seems correct to me. I don't think it's been specifically designed to be a store of wealth.
the property value that can skyrocket
There's people that own $8M dollar houses in Hollywood paying less property tax than people living in $800k condos.
people lose their homes all the time because the neighborhood gets gentrified and their home values go up and they can't afford the property tax.
insurance can skyrocket based on natural disasters in your region. a lot of the Gulf Coast has trouble getting homeowners insurance. if earthquakes ever pick up on the west coast. the same thing will happen