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> People have a lot of money right now and they want to buy financial assets with that money. I am very far away from any kind of expert in this matter, but it
by locallost 5y ago
> People have a lot of money right now and they want to buy financial assets with that money.
I am very far away from any kind of expert in this matter, but it seems to me people would be better off long term by investing their money into their own business. The lure of not doing anything and watching your pile in stocks grow is strong, but it can't really work long term for everyone. Eventually people need to produce something of value.
- swiley 5y agoWhat business in the US makes more money then real estate? There's stuff like Apple where you almost literally own half the countries computers but outside of stuff that is or should be illegal there's very little. Nothing is like land. You can just let it sit and make money borrowing against it. You can work on it yourself to improve (this has an extremely high $/hr rate.) Everyone has to go somewhere and zoning means "somewhere" is usually not clumped together which means demand for land. Long term we definitely need to figure something out. Maybe better zoning, maybe LVT. Short term you want real estate if you can afford it.
- lotsofpulp 5y agoThere are very large portions of land in the US that produce very little return compared to simply buying VTI. Large tracts of upper Midwest and Northeast and states (and cities) with outlier debt per taxpayer burdens come to mind (CT/NJ/IL). Land, specifically individual land ownership on a non REIT scale, is a notable asset class for a variety of reasons, but diversifying investments is still a good idea in my opinion. It is not impossible or even very unlikely that the specific piece of land one owns to stagnate or even decline in price for a long period of time.
- MattGaiser 5y agoI produce something for the company I am employed by. Others own shares in the company.