Your home is NOT an asset.

Simply defined, assets put money into your pocket and liabilities take money out of your pocket. Your primary residence is not an ATM machine, does not put money into your pocket and requires large capital contributions to keep and maintain. It is a roof over your head for you and your loved ones, not a business or investment.

Real estate investments have seasons when they are assets and seasons when they are liabilities. That is why it is critical to understand the numbers before purchasing what you think is an investment. Whether single or multi-family, short-term or long-term rentals, learn to run the numbers.