Invested: The Rule #1 Investing Podcast

If you think that because real estate lets you leverage your investment, the rate of return is much higher than a business/stock investment, and is, therefore a better place for beginner investors to put their money, think again. This is a commonly held idea that is completely mistaken.  Phil and other expert investors including Warren Buffett have owned real estate, everything from subdivisions to large farms, apartments, commercial property, and single-family homes. If you were to do a real estate versus business/stock ownership returns comparison, we could pit the hottest real estate markets against the hottest Rule #1 investors. But it seems better to use the average real estate market and the average Rule #1 investor. As Rule #1 investors, we incur almost no management responsibility—a significant advantage. We have to spend about 15 minutes a week reading and researching, and that’s it. We’re required to know the basics of Rule #1 investing, but it’s easier to learn than real estate investing once you