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The additional capitalization is still costing money even if not directly used to fund lifestyle, but yeah this might improve the comparison a little but rental income would still fall well short of shares. It's the imputation credits (i.e. less tax) and lack of overhead costs (at least 1.5%...

Yeah with a big enough portfolio and low living expenses it might work but for most people increasing debt during retirement is asking for trouble. When property prices decrease and/or interest rates go up significantly they don't have any income to fall back on so become forced sellers in a...

Living off equity without selling means increasing your debt in retirement no? Sounds like a scheme that will backfire pretty quickly in a property downturn. Anyway I'm sticking with shares, after tax income is double what you'll get from net rent.

Yeah I'm sure it's enough for some but the net income from dividends is generally much better. I can stop working with dividends, but not with the same equity in residential real estate with all the costs and hassle associated with that. Real estate has been good to build up capital but I...

Yeah, that's what I'm in the process of doing (as would many retiring investors I'd expect). Should be an option for this, "business" is ambiguous. Screw living off rent, doesn't pay enough.