So someone else put up the capital, the government made that capital cheap, and societal demand with artificial scarcity (in most places) pushed up the asset value.
I’m not saying it’s a bad thing, but let’s not pretend that making capital gains on a house in the US is anything like any other available investment.
Yes, mortgages are subsidized by our interest tax deduction system. That part is true. It doesn't turn home ownership into something with no risk, and it certainly doesn't turn it into this subsidized investment. It's a liability, not an investment.
I’m not saying that homeownership is a slam dunk. If you go back and reread, what I’m pushing back on is that the mere act of purchasing and holding a house counts as doing something worthy of a return.
My point is that homeownership, in the US especially, is so heavily favored as an investment vehicle that you perhaps should not act as if you inherently deserve the gains for having “done something”.
As you say: it’s a liability, not an investment (although, I would say it’s entirely possible to be both, and trillions of dollars of smart money agrees)). But it is a liability that has limited downside because of government policy. Because of this, it actually makes a pretty good investment as well. We would do well to recognize where those gains come from (artificially low mortgage rates, and often artificially high scarcity).
No it's not.
Just unbelievable gaslighting from the landed class, continuously.
Ohhh no, woe is you, bought a $500k house on 3%, literally lived inside it, but had to repair the septic :(