You need to make decisions using the same principles as retailers.One goal of a rental property is to have a reliable income.

But my friend is selling some stocks and was told that if he invests it in real estate he won’t be taxed.

Then there's the "Wall Street vs Main Street" concept where one can have more control of real estate versus stock & bond market investing.

In this post, I will explore the historical impact of the election results on the housing market, if any, and share my view of the current election impact.Historically, U.S. investors have seen similar annual stock market returns regardless of which political party is in power.

But you're buying in a high appreciating area so it may be worth having renters water down your principle while you appreciate.

It's like whoever created this has only experienced life from a textbook and has no basic understanding of real life and basic business principles. 

Down Payment Assistance: Proposed up to $25K in down-payment support for 1st-time homebuyersMarket implications under Harris include potential stabilization of home prices through increased housing stock, enhanced affordable housing options, reducing competition in rental markets with a greater focus on urban development and rental price controls.Savvy investors may want to focus on affordable housing opportunities and urban renewal projects under a Harris administration.Former President Trump will likely focus on deregulation and private sector growth, emphasizing market-driven solutions and reduced government intervention.

I'm sure the people that felt they were losing chances at money started crying, real estate brokers, stock brokers, business brokers, lawyers and they had their lobbyist go to work at various capitols passing laws to steer the money back to them. 

Also, remember that around 11-13% of your payment goes towards principle each month.

I would consider investing in stocks and index funds to be passive.