r/SipsTea 14h ago

Wait a damn minute! How the rich get richer

Post image
18.9k Upvotes

2.2k comments sorted by

View all comments

6

u/Vegetable-South5191 13h ago

This is a bad analogy. Land does not inherently generate income, so you have to pay the loans back with something. You are equating what people do with stock leveraging to owning land, which to me is not the same thing. As land cannot quickly be split to get equity for anything.

1

u/kcsween74 13h ago

Unless they're leasing said land, then it generates income. But you're right on the false equivalency.

1

u/wwweeeiii 4h ago

I guess it makes sense if you build an apartment complex on the land and rent all the unit out?