I understand your formula but you have not included any expenses for managing the property, upkeep, insurance, etc. These costs far exceed the 10th of 1% management fee that one could pay for an ETF. Additionlly if one wants to participate in Leverage you could buy options or buy on margin. The bottom line is that if you are looking to optimize real estate you better be willing to get your hands dirty.
Property mangement companies don’t exist because they save owners money. They exist because owners get tired of doing everything themselves.
