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> So, what causes house prices to rise faster than incomes is not an approach of making housing an investment per se, but a focus on making it an investment com
by YetAnotherNick 5y ago
> So, what causes house prices to rise faster than incomes is not an approach of making housing an investment per se, but a focus on making it an investment competitive with the stock market and attractive to institutional investors seeking outright yield.
If it is an investment, it has to be competitive by definition. Otherwise your aim is something different than investment, which should be the case for housing ideally.
- DeathArrow 5y ago>If it is an investment, it has to be competitive by definition. No, it just has to yield profits higher than the inflation rate. Not all investments have the same return.
- YetAnotherNick 5y agoNo, all investment has to give same expected return(for the same risk) to be counted as investment.