a building is an asset, not a liability, it always increases in value, and even if it is burned to the ground on a higher than average rate, the land it’s on remains incredibly valuable and an asset. the people living there are losing money. the people who own it are gaining money WITHOUT TENANTS. the equity goes up. period. that’s why people go into debt to own the land. because it’s an asset.
a building is an asset, not a liability, it always increases in value, and even if it is burned to the ground on a higher than average rate, the land it’s on remains incredibly valuable and an asset. the people living there are losing money. the people who own it are gaining money WITHOUT TENANTS. the equity goes up. period. that’s why people go into debt to own the land. because it’s an asset.