/biz/ - Business & Finance

>>30396722
> It's more to do with the fact that by paying with cash you're reducing your liquid capital that could be making higher returns in other investments.
> could be making higher returns in other investments.

Ok, but if your capital "would be making higher returns in other investments", then why would you buy a home in first place?

Wouldn't it make sense mathematically to keep all the liquid assets in those "higher investments" and at worst just use dividends or rent?

It seems like if you have knowledge of investments that beat real estate one would not invest in real estate. Why would I invest in A which gives me 5% yield, when I can invest in B that gives me 7% yield??