… and the longer the hotel lasts and the more residents it helps, the more efficient this mechanism becomes over paying rent.
Why is this?
Because buying the hotel was a fixed cost, whereas rent is an ongoing one.
Got it – so you’re just amortizing the cost of the house over time. (It’s not like there’s a mortgage that’s currently being paid down & one day will be paid off.)
Right… or even worse, you’re simply paying someone’s rent and not working towards ownership at all.
Why is this?
Because buying the hotel was a fixed cost, whereas rent is an ongoing one.
Got it – so you’re just amortizing the cost of the house over time. (It’s not like there’s a mortgage that’s currently being paid down & one day will be paid off.)
Right… or even worse, you’re simply paying someone’s rent and not working towards ownership at all.