If grandma pays 90% less taxes than me (prop13), where is the leverage?
If grandma bought the the house in 1990 and property values have risen faster than wages and inflation, where is the leverage?
If grandma is under insured, either due to the insurance company not updating coverages with inflation or no insurance bc she isn’t required to, where is the leverage?
The leverage I am talking about is being a landlord where most of your cash flow is dependent on one or a handful of tenants reliably paying rent. Maybe it would have been better to not be a single owner of a fourplex, but to go in with 20 other people on ownership of an underlying llc of that fourplex, and invest in another 19 similarly structured fourplex llc's. Same investment but de risked due to spreading it across some 80 people paying rent vs just four people. Or you can just put that money into REITs where now its what several hundred or maybe thousands of people in the tenancy pool you are investing in.
If grandma pays 90% less taxes than me (prop13), where is the leverage?
If grandma bought the the house in 1990 and property values have risen faster than wages and inflation, where is the leverage?
If grandma is under insured, either due to the insurance company not updating coverages with inflation or no insurance bc she isn’t required to, where is the leverage?
The leverage I am talking about is being a landlord where most of your cash flow is dependent on one or a handful of tenants reliably paying rent. Maybe it would have been better to not be a single owner of a fourplex, but to go in with 20 other people on ownership of an underlying llc of that fourplex, and invest in another 19 similarly structured fourplex llc's. Same investment but de risked due to spreading it across some 80 people paying rent vs just four people. Or you can just put that money into REITs where now its what several hundred or maybe thousands of people in the tenancy pool you are investing in.