Tax Advantages. On the sale of a primary residence; if you live in the property two of the last five years, you may be able to sell the property for up to a $250,000 gain for single people or $500,000 gain for a couple, without paying any capital gains taxes. On income properties, the owner can take tax advantages of depreciation and deducting operating expenses against the income of the property. Also, when selling an investment property, the owner may be able to perform a 1031 exchange on the sale and pay no capital gain taxes. Certain rules apply on all of these advantages. I can provide more details about this, or you can consult your tax professional for more information.

Control. As the owner of a piece of real estate, you make decisions on managing, improving, changing the use, etc. With most other investments, you do not have this advantage.

Long Term Success. Real Estate can get better with age. Over the long term, prices have gone up. Also, over time, you or your tenants pay off the mortgage to make the property more affordable to live in or have a much greater cash flow.

Use of Equity. As a property increases in value, the owner can refinance and pull out cash tax free.