While people in America still make money in real estate, the great boom is over. Many savings and loan institutions and banks who put their capital into real estate have failed. Home ownership is one of the major forms of real estate investment. Houses can be difficult to sell, though, if you have to relocate during an unfavorable housing market. In today's market, the purchase of a home should be for living first, with investment considerations a distant second.
Some people buy investment property which they then rent out to others.
The laws applying to landlords and tenants are almost always local, and often complicated. Many laws and regulations allow bad tenants to take advantage of landlords, just as landlords sometimes take advantage of tenants. The landlord-tenant arena is one an investor should enter only with great care. Co-ops and condo's, either apartments or homes, have the same considerations. If the tax considerations are right and you plan to stay for a long time, you might be better off buying.