Why is a home a great investment?

Thomas Ervin, a nationally syndicated columnist, has this to say about the unique factors to home ownership that make it a great investment:

• It's a forced savings account. When you make a payment every month on your mortgage loan, you reduce the balance on your loan while increasing the equity in your home. If you were not making a mortgage papyment, you would be making a monthly rental payment that would set you back not ahead.
• It's leveraged inflation. Let's say that you buy a home for $150,000 and put $15,000 down. You owe the mortgager $135,000. After the first year of ownership, assuming a 5% inflation, the house is now worth $157,500. Therefore, your $15,000 cash downpayment yielded you a $7500 return. Where else can you get that kind of return on your investment?
• It's a tax deduction. Home owners will continue to receive a tax break on their mortgage interest and taxes.
• It's tax-free income. When you go to sell your home, you do not have to pay taxes on the capital gains as long as those gains are under $250,000 for a single person and $500,000 for a married couple.