Quote:
Originally Posted by Pastiche
Historically supported? By what? The last 5 years?
Long term returns on equities are always higher than real estate.
|
I'll try and dig up some numbers, but I've read before that over the last 20-30 years the annual return on RE comes out to about 8-9%. The last 5 years of course are even better, but I'm not just talking 5 years.
Also, it's estimated that something close to 90% of millionaires make their fortunes with significant initial investment in Real Estate.
From personal experience, I know a ton of people who have made great returns in Real Estate, and almost no one who has in stock, so that' effects my opinion as well, although not statistical fact.
But I'm not knocking equities anyway, just stating my preference for Real Estate. I find wealth in equities is heavily based on suckers. Most people are too uneducated on where to put their money and just lose it, while the very few who have a lot of knowledge on it make all the money.
Real Estate offers something more understandable and tangible, and at worst you've at least got a house.