For an individual investor,the value of home ownership is likely to be viewed
A)as a hedge against increases in rental rates.
B)as a guarantee of availability of a particular residence.
C)as a hedge against inflation.
D)both A and B.
E)all of the above.

Question

Quizplus · Accepted Answer

Home ownership can provide a hedge against increases in rental rates, as the homeowner is not subject to the discretion of the landlord. It can also provide a guarantee of availability of a particular residence. Additionally, owning a home can act as a hedge against inflation, as the value of the property may increase over time. Therefore, choices A and B are both valid reasons why a homeowner may view their property as valuable, making D the best choice.

For an Individual Investor,the Value of Home Ownership Is Likely