064: Make thy dwelling a profitable investment
This week I am getting thru the universal laws of prosperity from “The Richest Man in Babylon” book by GEORGE SAMUEL CLASON, which are referred to as the “Seven cures for the lean purse”.
Review chapter #5 in the book.
The Fifth Cure: Make thy dwelling a profitable investment
Although, this statement may make sense for some families, recent history shows that home is not always turns out to be a profitable investment.
I actually would like to suggest not to think of home or your primary residence as an investment. Yes, I know you pay down the mortgage, the home increases in value and you get equity or profit. The true definition of an “investment” is an asset or an item that is purchased with the hope that it will generate income or will appreciate in the future.
If you live in an home it doesn’t produce income, it can only appreciate in value over time. We’ve seen what happened in 2008 with many people’s homes.
If you want to have a profitable investment in real estate, think about types of real estate where other people use it, pay you income.