@scottalanmiller said in Is Real Estate Actually a Good Investment on Average?:
@Mario-Jakovina said in Is Real Estate Actually a Good Investment on Average?:
But just this one more now:
Can you answer to what market are you comparing real estate market?
Beacuse bonds and shares are completely different things with very different risks (if you are comparing to that)
IN the financial world, all of these are financial vehicles. They are specifically always compared to each other because it is the sole comparisons to make.
Bonds are the highest risk. Real estate the middle. Stocks the lowest. Stocks are the only major investment vehicle to routinely outpace inflation and make money through the vehicle alone. Real estate and bonds are "losing" investments that you can only make money (on average) through trading against the deltas rather than the value of the assets. So with stocks, you can make money by investing. With real estate or bonds you assume you can only make money through trading.
The poor, especially in America, are always taught the opposite because it heavily helps investors control the profitability of the markets. They want the poor classes to hold bonds and real estate so that highly profitable and safer stock assets are available for the rich to trade. In the investment world, that real estate and bonds are super high risk that can't beat inflation is common knowledge, But if you learn investing in high school they will always claim stocks are risky. But stocks on average are the safest asset to hold by no small margin.
I am financial expert (not IT expert), I don't need basic financial explanation.
You say real esatate "lost against an index by 5-10%"
I ask "to what market are you comparing real estate market"
You do not answer to my question directly - instead you send me "walls of text"
It seems like you do not want discussion?