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Real estate is one of the worst asset classes right now. If anything is due for a crash it’s real estate prices. And the amount of protection that tenants have
by xwdv 6y ago
Real estate is one of the worst asset classes right now. If anything is due for a crash it’s real estate prices. And the amount of protection that tenants have been getting during the pandemic doesn’t inspire confidence in being a landlord. On top of that, people seem to get so leveraged in real estate, it’s a recipe for bankruptcy. I never hear about people investing in stocks going bankrupt unless they do something extraordinarily stupid, but I hear about real estate investors going bankrupt all the time despite simply following best practices.
- mellavora 6y agoThere were some interesting books written about some bankruptcies associated with stocks. Which doesn't subtract from you main point, yes, real estate is much riskier than it might look. For example-- what happens when municipalities realized their pension funds are broke, and they decide to raise property tax to cover the shortfall?