Real estate is a poor wealth battery and an even worse wealth engine.
A wealth engine is a system that generates and accumulates wealth over time. It's a machine with inputs and outputs, where you put in resources and effort, and it produces financial growth.
As you build wealth via your engines, you need to store it somewhere — those are wealth batteries.
Real estate has long been considered the premier wealth battery: a reliable place you can store your economic energy and feel assured that 10, 20 or 30+ years down the line it will still be there.
But will it?
The Problem(s) with Real Estate
Buying and selling real estate comes with hefty expenses like closing costs, real estate agent commissions, legal fees, and potential renovation costs. These costs eat into your returns and make it harder to build wealth efficiently.
“You have to spend money to make money!” - people justifying inefficient wealth engines and batteries.
People love owning real estate for the passive income… one problem w…
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