How do you convince your that SO buying rentals is not gambling

[Tianyun Zhang]

Hi BP,

I don't know if anyone has had the same issue. 

I think I have got enough knowledge and capital to buy my first SFH or duplex rental property, but my wife thinks buying rental properties is gambling. She doesn't want to get into another mortgage because she thinks all debts are bad. She's worried the tenants will sue us and make us broke. She's also worried the tenants are going to trash the properties..etc etc...

So how can I convince my wife that investing in rental property is not gambling and is a great way to financial freedom?

Thank you in advance!

[Caleb Heimsoth]

Tianyun Zhang I could be off base here regarding your last comment on “stock market is the real casino”...but just to be clear real estate isn’t any less risky then the stock market. If anything it’s probably more risky. Don’t confuse volatility (stock market is more volatile) with risk. Real estate is less volatile but also illiquid, and leverage can increase your returns but also make a downturn more painful.

Show your wife that doing both is a smart and useful way to built a diversified portfolio.