On Feb 20, 8:13*pm, Larry Dighera wrote:
On Wed, 20 Feb 2008 18:40:15 -0800 (PST), Dan wrote in
:



The long term average for real estate appreciation is 5%, after
accounting for inflation.

To do as well in the stock market it would have to yield 25%
appreciation, unless you're buying on margin.....

We're getting off-topic here, but this is a interesting one...

I see your point, however this is based on the assumption that market
rent can pay for _all_ of the following.

1. Payments on an 80% LTV mortgage.
2. Property Taxes
3. Insurance (including liability risk)
4. Repairs, maintenance, and upkeep
5. Homeowners association bills (if applicable)
6. Property managment company (or you could handle the 3am calls
yourself)
7. Also pay for the carry time required when between renters
8. Real-estate commissions when it comes time to sell.

Can market rent pay for all of this? I doubt it, but honestly I have
not done extensive research. Is anyone doing this who cares to share
with the group? Granted, #6 could be done by the owner...

--Dan