Why I say double?

Because in addition to leverage other people money to buy a house, when you rent the house out. Over the long term, you leveraged another asset that you may be very conscious about: Inflation. For asset poor person, including most stock market players with no property assets, inflation is very bad for them. Inflation will make their stock portfolio worth less in the future. However, when holding real estate, inflation becomes a friend because it will be reflected into a gradual rent increase. Eventually, the rent increase is going to be so high that would completely take over as one of the main sources of return. That’s why I say that there are double leverage in any real estate investment. One is obvious, the second is less obvious, but equally powerful.

Stock return is looking good upfront. So, many people see the obvious part of its return, but miss the hidden pitfalls for this types of investment. Stock investment is inherently not leveragable. Option is not a good leverage so it doesn’t count. Margin is even worse. Stock is notoriously bad in the aspect of leverage. Therefore, it doesnot present long term, hidden, passive return for the investors. Everything is upfront, that’s it.

The reason for investing in real estate is to harness its hidden power, like cultslake said, using the INVINSIBLE money to make money for you, that’s where the real power came from.