An investment is a capital expenditure with an expected return.By some definitions, investments bring in income. Since house you live in does not typically bring in income, it is not an investment.
It gets down to semantics to some degree but it can be a beneficial way of thinking.
My long term plan was stock, bonds, property, etc. and minimizing recurring costs.
That way, in lean times, even if the markets went south, I could live very cheaply and ride out the inevitable downturns.
When I bought this small, old, beat up house, I could have bought a bigger, much better home in a different area. I believed this town would be safer and hold its value better than others. It has worked out well.
This house would easily run $4,000 per month rent; instead it is paid off. And worth quite a bit more than the purchase price...
The best investment is investing in yourself.
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