Many investors think buying property guarantees stability. But stability built on the wrong foundation can erode your wealth and your freedom.
A retired schoolteacher who moved to Israel after a lifetime in New York came to me with a familiar idea: use ₪800,000 in savings along with a mortgage to buy a small apartment in Jerusalem. After years of carefully putting aside money, she wanted something permanent, something she could call hers.
On the surface, it seemed reasonable. But as we looked closer, a different story emerged.
Emotional Security Often Masks Financial Risk
Buying real estate isn’t just a financial decision; it’s an emotional one. She didn’t need an apartment to solve a financial problem. What she sought was a feeling of belonging, a physical anchor in a beloved city.
However, financial decisions based on emotion often bring unintended burdens. Owning a property would have introduced new taxes, maintenance responsibilities, and liquidity problems she didn’t need. What she truly wanted wasn’t the keys to an apartment; it was the freedom to spend time with family and enjoy the city without the stress of ownership.
Real Estate Can Trap More Than Capital
Property ownership locks up wealth in a single, illiquid asset. If life changes, and it often does, selling quickly may not be easy or profitable. As we explored her options, it became clear that the so-called security of real estate could actually limit her ability to travel, give to family, and adapt to changing needs.
By choosing to rent short-term whenever she wanted “Holy City time” instead of buying, she preserved her cash, retained her flexibility, and still achieved her lifestyle goals.
Freedom Should Guide Retirement Decisions
Financial stability in retirement comes from strategic liquidity, not just asset accumulation. True wealth allows for flexibility to pivot, enjoy experiences, and support loved ones without being tied down. Smart investing isn’t about chasing permanence. It’s about creating options. Every decision should serve the life you want to live, not tie you to burdens you no longer need.
If you’re thinking about how to create more flexibility in your financial life, consider signing up for a free introductory call at www.profile-financial.com/call to see if and how we may be able to help.
Douglas Goldstein, CFP® is the director of Profile Investment Services, Ltd. www.Profile-Financial.com. He is a licensed financial professional both in the U.S. and Israel. Call (02) 624-2788 for a consultation on how to set up your American assets to meet your financial goals. Securities offered through Portfolio Resources Group, Inc. Member FINRA, SIPC, MSRB, FSI. The opinions expressed are those of the author and not those of Portfolio Resources Group, Inc. or its affiliates. Neither PRG nor its affiliates provide tax or legal advice.
Published January 28, 2026.