Is your "Primary Residence" a good investment?

This is always a big debate online with financial people and real estate people.

It always gives my a good chuckle, because the people arguing usually miss the mark completely.

My first question:

Are you investing in a home or are you investing in a quote "primary residence?"

If you are buy an actual "primary residence", then by all means, crunch the numbers. Take into account state tax, RIO, all of them.

If you are buying a home, then make sure it makes financially. Can you make the payments? How long you going to live there? All of those things.

But if you are buying a home, then the numbers aren't as important, because what you get back from it (or at least what my family gets back) is so much more valuable.

Honestly, the most valuable thing about our "primary residence," is our neighbors. Great people, great neighborhood. Everybody, always helping out, some of the older kids will babysit our kids. And when our kids get older, hopefully they will be able to return the favor.

Not one single client of mine, owns a quote "primary residence." They own homes, some of them own multiple homes or properties.

Some of my clients who have done well own their "home" or "house." Then they own things like "the condo," "the cabin," "the land," etc. They all have significant meaning to the person, and it's much more than the return on the investment.

I remember going to look at houses while we were pregnant with our first child. It was the first time for us buying a home. When the realtor walked us through (keep in mind, he knows what i do for a living) he walked us through the house and pointed out things that would be good for the baby and raising kids.

You could put a swing set here, crib over here, down in the basement would be a lot of room for the kids to play.

He never once told me, "hey Nate, you could finish the basement, and redo the deck. Five years from now you might be able to double your money on this investment."

So unless you own multiple properties across the country, let's keep calling it house or home, and stop calling it a "primary residence.

Or maybe i'm completely wrong on this.

Talk soon.

-Nate