You are 100% right, I did not factor in risk. The SFR has a 100% guarantee of losing all the money they spend on rent. The national average for home appreciatio

You are 100% right, I did not factor in risk. The SFR has a 100% guarantee of losing all the money they spend on rent. The national average for home appreciation over many years is 3.85%. There is a reason real estate is the investment of choice for many asset managers. Yes, if you sell the house during a downturn you could lose money. If you buy on the edge of a flood plain, or in a bad neighborhood, you could lose money. Individual stocks are high risk, but the DJIA has gone up consistently if you look at it across multiple years. Renting being a con might have been too strong - it might not be an intentional act to steal money. However, renting is almost never in your best interests, if you are not doing it for the flexibility (don't have enough money at the moment to buy a house, don't want to be tied down, etc.)