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Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
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Author: Munger_Disciple   😊 😞
Number: of 15062 
Subject: Re: OT-top 1% Net Worth
Date: 06/09/2024 12:20 AM
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You have to include the imputed value of rent in the calculation because you are getting value by living there.

Yes, but you are not making a large capital investment when you rent. Technically it comes down to return on equity capital invested, with the benefit of imputed rent as a positive cashflow offset by all the negative cashflows associated with home ownership. I suspect most people will find net cash flows are pretty small if any all.
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