Your second home vs. a guaranteed 4.07%

Most second homes and rentals break even at best. Some cover expenses through rent. Others sit empty half the year.

Owners often justify holding by pointing to appreciation. That works if the market is rising. That works if you sell at the right time. But appreciation is not income. It is not guaranteed.

Currently, one-year treasuries yield over four percent. No repairs. No stress. No vacancy.

If your property nets two percent after taxes, insurance, and maintenance, it may be underperforming, especially if that return is based on what you paid ten years ago.

Your return should be based on today's value. If the home is worth one and a half million, and it earns thirty thousand a year, that is a two percent return. That is less than what you can earn with no risk.

Real estate remains a solid investment. Just not always the property you already own.

I can run the numbers. I can show you the actual return. I can provide you with an estimate of what it might sell for; simply reply to this email.