Quote:
Originally Posted by melpetezrinski
Our plan was to sell in 3-5 years, which we did, and reap the capital appreciation. How is this NOT an "investment decision from a finance point of view."
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executive summary: housing is a consumption decision, with no expected income generation, and conflating consumption with investment because there is a price attached, and potentially a taxable gain.
The truth? Your house is not an investment | Money Under 30
A House Is a Home—Not an Investment - The Atlantic
A Wharton Professor Explains Why a Home Isn't an Investment
Why Your Home Is Not An Investment | by Adam Del Duca | Making of a Millionaire
What you are engaging in is human bias, and in this case, mental accounting and resulting.
Understanding Common Types of Bias in Investing
https://www.investopedia.com/terms/m...accounting.asp
The other being resulting, which is a really hard one to grasp
https://www.bjjmentalmodels.com/resulting
best explanation
https://www.amazon.com/Thinking-Bets.../dp/0735216355
this all comes under the heading of behavioral finance, which is infinitely more accurate in understanding hoomans handling money, than the 1950's rational man model. Economics is actually the study of hoomans handling money, so behavioral economics and behavioral finance explains much more of reality of decisions than the rational man, which we know we are not. If we all were rational, many industries would not exist