Woman Says Buying a House is a Bad Investment and Her 10% Returns Prove It
It used to be that many people saw purchasing their first home as a rite of passage, making it something most strived to do at some point in their lives. But the world is changing, and many people have discovered that homeownership isn’t for them.
That could be due to financial limitations that make it hard to buy a home, or because some people would rather not have to worry about things like taxes and maintenance. However, there may be a whole other reason why some people are pursuing a different version of the American dream that doesn’t involve owning a home at all.
TikToker @omgitsrileym shared a video recently telling her followers why she would rather invest her money than buy a home. She broke down the numbers for her followers, explaining how she’s seen such a high return on her existing investment (ROI) that she thinks owning a home would be a major financial mistake.
People were quick to jump into the comments and share their own success stories with homeownership. However, that prompted a lot of younger folks to point out one major difference between the ROI older homeowners have seen on their properties and what someone who purchased a home today could see.
The TikToker Says She Currently Sees a 10 Percent ROI
@omgitsrileymupdates on buying a house in case u were wondering♬ original sound – rileyyrojass
According to Riley, her current financial strategy is helping her to earn even more money. “Men turn the age of 30, and they just want to buy a house,” she said at the start of her video, explaining how she and her husband had been arguing about this idea recently.
“I would rather just put all of my money into a savings account, S&P 500, boom, boom, boom,” she continued. “It’s been like a 10 percent ROI each year.”
However, she says when she looks at properties in California, homebuyers aren’t seeing the same rate of return.
She Says Things Would Be Different If She Had Bought a House Decades Ago
The TikToker went on to say that 20 years ago, people were buying houses for $500,000 and then watching the home’s value creep into the millions. “That is not how it is,” she said of today’s real estate market, claiming that houses are staying the same price. “Back then, 20 years ago, you could flip a house and become really rich. But now, buying a house isn’t an asset in the same way it was back then.”
Commenters mostly agreed with Riley’s assessment. “I agree. I don’t own a house yet, but I’ve got about $2 million in investments. I’ll buy a house when I need a house, not as an investment,” one person wrote.
“I’ve been thinking about this too,” another person added. “Not to mention paying property tax, home maintenance, etc. Like it lowkey feels like you’re still paying rent.”
There are clearly some pros and cons to purchasing a house, and each person needs to make the decision that’s right for them. But when you consider that Redfin says the median sales price of a home in the U.S. is $393,895 as of September 2026, it’s clear why some people are moving away from the idea of purchasing a home strictly as an investment.
