Your info about Index appreciation is wrong

Rental properties have many advantages, such as:

• Inflation-proof asset, slow but steady positive appreciation;
• Eligible for 1031 exchange, deferred capital gain payment;
• Refinance opportunities to minimize interest-related risks;
• Mortgage interest eligible for tax deduction;
• Property appreciation can be utilized for HELOC to take advantage of potential great investment opportunities;
• Rental payment is superior to covered call premiums without assets being called away;
• Gift rental properties to next generation without paying capital gain tax until sale of the properties, providing immediate cash flow for the children;
• And much more;

BTW, you present index appreciation incorrectly; Here is my calculation for various index CAGR (compound annual growth rate)

• DJI since 1970, CAGR is 7.12% as of today;
• SPX since 1970, CAGR is 7.31% as of today;
• IXIC since inception on 6/1/1973, CAGR is 10.03% as of today;
• NDX (Nasdaq-100) since inception on 1/31/1985, CAGR is 12.99% as of today;
• SPY (SP500) since inception on 1/29/1993, CAGR is 7.58% as of today;
• QQQ (Nasdaq-100) since inception on 3/10/1999, CAGR is 8.08% as of today;

Based on my calculation, your info about 标普500指数过去50年的平均年化收益率是11%。而自1986年成立以来，纳斯达克100指数的平均年化收益率是17% is terribly wrong. If the baseline is correct, investment on rental property (10% CAGR) beats SP500 (aroung 7.5%) soundly;

所有跟帖： 

• 你是不是把通胀因素给扣除了？标普500指数7.3%的收益率，不符合史实。 -硅谷居士- ♂ (0 bytes) () 10/31/2023 postreply 12:10:36

• 历史事实就是SP500公认的收益率是7%；这也是4%rule的理论基础。 -Nerazzurri- ♂ (365 bytes) () 10/31/2023 postreply 12:28:17

• 4%后面对应的是Balanced Portfolio, 大致一半是股票基金，一半是债券基金，综合回报率7%。 -硅谷居士- ♂ (0 bytes) () 10/31/2023 postreply 13:30:59

• https://dqydj.com/sp-500-return-calculator/ -硅谷居士- ♂ (0 bytes) () 10/31/2023 postreply 12:11:57

• 你需要考率Reinvest分红 -硅谷居士- ♂ (0 bytes) () 10/31/2023 postreply 12:13:00

• All things considered, divedend re-investment -Nerazzurri- ♂ (246 bytes) () 10/31/2023 postreply 12:29:39

• 我不清楚你哪里搞错了。你可以用上面的权威网站算一下。 -硅谷居士- ♂ (0 bytes) () 10/31/2023 postreply 12:33:00

• 那个网站我很久之前就用了。when compare things， -Nerazzurri- ♂ (138 bytes) () 10/31/2023 postreply 12:39:24

• 所有对股票基金的权威分析都是包括Dividend Reinvestment的。你可以另辟蹊径，如果你能说服别人的话。 -硅谷居士- ♂ (0 bytes) () 10/31/2023 postreply 13:28:22

• 而且你要考虑到rental property is inflation-proof asset -Nerazzurri- ♂ (247 bytes) () 10/31/2023 postreply 12:36:48

• 股票后面对应的是公司，也抗通胀的。 -硅谷居士- ♂ (0 bytes) () 10/31/2023 postreply 13:17:00

• 你可以给一个权威的投资房的年化回报率吗？反驳别人，需要拿数据说话。 -硅谷居士- ♂ (0 bytes) () 10/31/2023 postreply 13:21:00

• 我不再继续和你讨论了。我觉得你没有搞清楚基本的事实，这样的讨论是毫无意义的。 -硅谷居士- ♂ (81 bytes) () 10/31/2023 postreply 13:32:44