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“Fascinating that the richest people I know rent their houses”

It was a tweet by Noah Kagan. His friend said better returns are made by investing in his business than property and he prefers the flexibility of renting.

Its an interesting question. If you run your own business, is it likely the return on your capital would be greater than the return on a property? Hopefully, yes is the answer.  So renting can make a lot of sense. Emotionally owning your own home trumps logic. Of course, if you work for someone else, your opportunity cost of investing may be limited, as such, buying may work for you.  The point is that buying property should never be a primary goal.  There can be many benefits to renting that are often missed.

Be open-minded.

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