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Billy Joel spent six years trying to sell his nine-bedroom, 11-bathroom, Florida mansion.
He purchased the property in 2015 for $22 million, and in 2022, he tried to sell it for $64.9 million.
But things didn’t go according to plan — at least, not for Joel. After listing and delisting the mega-mansion, Joel eventually slashed the price by a whopping $22 million to close the sale.
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That lengthy process is a cautionary tale for anyone considering a hefty real estate investment. Sometimes, putting all of your eggs in one high-value basket can be a bigger risk than it seems. All of the added costs of property ownership are often overlooked, and they can quickly make your investment seem much less worthwhile.
Even high-profile investments can face prolonged delays and financial disappointments.
Joel isn’t alone.
Since 2022, the median price of existing-hom esales rangedf from a low of $358,300 to a high of $432,700, according to the National Association of Realtors (1). In November 2025, the median sale price stood at $409,200.
TD notes that while exisitng home sales rose throughout 2025, sales are still low by historical standards (2). In part, this can be attributed to high interest rates and a difficult labor market.
There’s also that fact that it’s very expensive to own a home, even once you’ve paid off your mortgage — making it a less appealing investment than it appears at the outset.
In an interview with the New York Times, Joel revealed he pays $567,686 in property taxes for his Long Island mansion, which he also recently listed on the market. For context, that’s well above the average cost to buy an entire home in the US.
Beyond taxes, being a homeowner also means you’ll face rising maintenance costs. Maintaining a single-family home in the US costs around $18,118 every year, with that figure as high as $25,000 for states like Hawaii and California.
And even though Joel struggled to sell his Floridian home, that’s not to say all real estate is struggling.
It’s really just about picking the right city and property in the first place.
Mogul is a real estate investment platform offering fractional ownership in blue-chip rental properties, which gives investors monthly rental income, real-time appreciation and tax benefits — without the need for a hefty down payment or 3 A.M. tenant calls.
Founded by former Goldman Sachs real estate investors, the team hand-picks the top 1% of single-family rental homes nationwide for you. Simply put, you can invest in institutional quality offerings for a fraction of the usual cost.
Each property undergoes a vetting process, requiring a minimum 12% return even in downside scenarios. Across the board, the platform features an average annual IRR of 18.8%. Their cash-on-cash yields, meanwhile, average between 10 to 12% annually. Offerings often sell out in under three hours, with investments typically ranging between $15,000 and $40,000 per property.
Every investment is secured by real assets, not dependent on the platform’s viability. Each property is held in a standalone Propco LLC, so investors own the property — not the platform. Blockchain-based fractionalization adds a layer of safety, ensuring a permanent, verifiable record of each stake.
Getting started is a quick and easy process. You can sign up for an account and then browse available properties. Once you verify your information with their team, you can invest like a mogul in just a few clicks.
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And if you want access to the real estate market, but don’t want to go all-in like Joel did, there are ways to own just a fraction of a property.
For example, with Arrived, you can add rental assets to your portfolio for as little as $100.
Through its user-friendly platform backed by Jeff Bezos, investors of all income levels can access SEC-qualified rentals and vacation homes with flexible investment amounts. Simply browse their curated selection of homes, choose shares, and start benefiting from the income and appreciation potential.
While commercial real estate volumes dropped 47% between 2022 to 2023, the average annual return on investment (ROI) is still 9.5%. This is slightly lower than the average ROI for residential real estate, which sits around 10.6%. But again, as Joel’s bad investment has shown us, diversification is a pretty alluring way to make sure you’re not stuck with one massive asset you’re trying to sell.
For those interested in further diversification through commercial properties, First National Realty Partners (FNRP) provides accredited investors with access to institutional-grade commercial real estate investments.
As a private equity firm, FNRP acts as the deal leader and offers white-glove service to investors. The team handles all the legwork for you, from the vetting and buying of properties to the leasing and management details. The firm then distributes its positive cash flows quarterly to investors, so you can increase your income without the hassle of buying and selling property.
You can also access real estate through real estate investment trusts (REITS) and ETFs, without needing to worry about any of those extra burdens of owning real estate directly.
To make sure you’re investing in the right REIT, services like Moby can give you the peace of mind you’re making the best investment for your needs.
With Moby, you’ll get investment insights broken down into simple, easy to understand formats. They’re written by a team of former hedge fund analysts and financial experts who spend hundreds of hours weekly sifting through the latest financial news and data. And Moby’s picks have beaten the S&P 500’s returns by almost 12%, on average.
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National Association of Realtors (1); TD (2)
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
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