The Impact of Real Estate as a Business in order to decrease Economic Inequality
It is no secret that the majority of millionaires and high net worth individuals consider real estate critical to wealth building. These individuals typically allocate >60% of their assets towards a business that can be in the form of real estate. Portfolio allocation is important when thinking about risk mitigation and achieving an outsized risk-adjusted return in the long run. Personally, my investment allocation consists of 55% towards some form of real estate with the other 45% in public equities. A further breakdown of the real estate portfolio is 40% single-family homes and 60% commercial properties ranging from several apartment buildings and office space to a health care building and self-storage facilities. With a massive disparity in homeownership by race. I thought it was important to highlight the importance of homeownership as a form of investment and its crucial role in wealth generation when considered in the context of a business. I will also highlight how such an a…
