If the stock market worries you, have you considered this investment opportunity?
We have a massive housing shortage - and the setup is staggering:
- In 1960, the U.S. recorded about 1.3 million housing starts with a population of roughly 181 million.
- Today, we’re again at about 1.4 million starts, yet the population has grown to 342 million.
That means we’re building at nearly the same rate as 65 years ago, despite nearly double the population.
And on top of that, the U.S. already faces an estimated 4–5 million home shortfall.
The math is simple: demand > supply.
What that means:
- Rents and home prices are likely to remain under upward pressure as competition intensifies.
- Real estate faces structural tailwinds, while public markets confront valuation-driven headwinds.
And here’s where the tax efficiency comes in:
- Use depreciation to shield rental income from taxes.
- Execute 1031 exchanges to defer gains and reinvest tax-deferred, compounding wealth faster.
If the stock market scares you, that’s OK.
What’s not OK is sitting in cash - because after taxes and inflation, you’re guaranteed to lose money.