A primary home is a lifestyle choice. The primary home is not an investment. 1 (Ryan Greiser, Twitter Apr 1. ‘26)
Particulars
- Historically homes appreciate around 4% annually over the long run
- On a $750,000 house, that’s $30,000/year in growth. You cannot spend a dollar of it without selling or borrowing against the house.
- While the equity sits there, the meter keeps running. Mortgage, property taxes, house insurance, hydro, natural gas, water, and maintenance. All tied up in a single, illiquid asset. None of that shows up in the appreciation number.
Long-term comparison
- Homes > 4% annually, locked, cost-burdened
- Markets > 9% historically, liquid, accessible
- None of this means don’t buy a house. Acquire it for the neighborhood, the schools, the stability, the life you want to build inside of it
- Then build a separate investment strategy for returns. Two decisions. Two different jobs.
- A client can’t change what they owned. They can change what they expected it to do
Your home and portfolio have different jobs
- A home is a lifestyle choice
- A home is not a liquid investment
- Long tern returns: homes 4%, markets 9%
Sincerely,
Mike Busby (1-June-26)
THE COMMENTS CONTAINED HEREIN ARE A GENERAL DISCUSSION OF CERTAIN ISSUES INTENDED AS GENERAL INFORMATION ONLY AND SHOULD NOT BE RELIED UPON AS TAX OR LEGAL ADVICE. PLEASE OBTAIN INDEPENDENT PROFESSIONAL ADVICE, IN THE CONTEXT OF YOUR PARTICULAR CIRCUMSTANCES. THIS ARTICLE WAS WRITTEN, DESIGNED AND PRODUCED BY MIKE BUSBY FOR THE BENEFIT OF MIKE BUSBY WHO IS A FINANACIAL ADVISOR FOR BRANDON LINDSAY INSURANCE AGENCIES, A TRADE NAME REGISTERED WITH INVESTIA FINANCIAL SERVICES INC., AND DOES NOT NECESSARILY REFLECT THE OPINION OF INVESTIA. THE INFORMATION CONTAINED IN THIS ARTICLE COMES FROM SOURCES WE BELIEVE RELIABLE, BUT WE CANNOT GUARANTEE ITS ACCURACY OR RELIABILTY. THE OPINIONS EXPRESSED ARE BASED ON AN ANALYSIS AND INTERPRETATION DATING FROM THE DATE OF PUBLICATION AND ARE SUBJECT TO CHANGE WITHOUT NOTICE. FURTHERMORE, THEY DO NOT CONSTITUTE AN OFFER OR SOLICITATION TO BUY OR SELL ANY SECURITIES. MUTUAL FUNDS OFFERED THROUGH INVESTIA FINANCIAL SERVICES INC.
