Over here in Australia it's common for eg. for a $500k apartment to be rented out for about $500 per week, which is about 5%PA return (comparable to mortgage rates) so isn't a slam dunk winner (leaving aside the question of whether you want to be long housing, which is a national passtime). In the US, I read about things like Detroit homes for sale for $1 (which come with massive land tax plus some legal obligations?) and things like $100k homes being rented for $1k per month (12%PA return, mortgage rates 3-4%?). Is that sort of rent/price ratio typical? What other costs/risks (apart from valuation) am I unaware of, or are investment properties really that insanely profitable in America?



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