4 ms·

Real estate looks as if it is way over-priced at this point. If you don't want the tax benefits of owning a rental, why not index fund your money, then you woul

Real estate looks as if it is way over-priced at this point. If you don't want the tax benefits of owning a rental, why not index fund your money, then you would be almost double the 4% long-term, either way.

eldavido 9y ago
Which market? I agree a lot of hot metros are looking expensive (SF, Seattle). Things are cheaper in places farther from growth and money, e.g. rural Indiana. I'm not sure whether they're better deals on balance, but quite different.
- sitkack 9y ago
  Just what those people living in those places need. More investors making money off their condition. The rent is already too damn high.
  - mcguire 9y ago
    Watch how high it gets when investors pull out of the market.
  - nradov 9y ago
    REIT investors aren't the cause of high rents. Actually the opposite. Every dollar they put in lowers the cost of capital for property developers and encourages the construction of new housing units.
- maxsilver 9y ago
  > Which market? Every market. Literally every market.
deleted 9y ago
[deleted]
brobinson 9y ago
Real estate value (as represented by REITs) has been going up despite increases in the Fed Funds rate. This implies a discount-to-book value. I think we still have a bit to go.
blibble 9y ago
there's no reason not to have it as part of your portfolio probably a small part, to be fair, especially if you own your own home
- pdog 9y ago
  If you own a total market index fund, REITs are already a small part of your portfolio.