> It doesn’t make sense to not buy the best house you can afford. I don’t understand how buying more of one thing is diversification. Some idea that makes mor

> It doesn’t make sense to not buy the best house you can afford. I don’t understand how buying more of one thing is diversification. Some idea that makes more sense to me is to buy 2 smaller houses, live in one and rent the other one. This diversifies more and is an example that it can make sense not to buy the biggest house you can afford.