2 ms·
Landlording can be very profitable in some areas or a huge money pit in some areas. My parents did it for years and barely broke even, or lost a ton of money if
by aestra 13y ago
Landlording can be very profitable in some areas or a huge money pit in some areas. My parents did it for years and barely broke even, or lost a ton of money if you include labor costs.
Plus you get people waking you up in the middle of the night when they lock themselves out.
- pilom 13y agoI agree entirely with the fact that real estate it is very hit or miss. But worst case scenario (assuming you have insurance) is you have to sell the house at a depressed price and take a loss on your time. With a restaurant (where 50%+ are out of business in 3 years) you rent the space, lose all the money you spent on rent, and on food and on employees etc. Very easy to lose everything with a restaurant, but you need to be fairly unlucky to loose more than you put into a house (i.e. you bought in 2007) That being said, saving lots of money and living off of dividends is the way to go.
- aestra 13y agoAssuming you can find a buyer for the house. My parents could absolutely not sell theirs, there was no buyer, because anyone could see there was no money to be made. You need a buyer to sell.