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But D is true though. Housing price is mostly based on the price-to-rent ratio when outside a bubble, and the average investors know it way better than the aver
by orwin 4y ago
But D is true though. Housing price is mostly based on the price-to-rent ratio when outside a bubble, and the average investors know it way better than the average Canadian [0]
[0] https://www.investopedia.com/terms/p/price-to-rent-ratio.asp https://www.investopedia.com/terms/p/price-to-rent-ratio.asp
- db48x 4y agoOnly if the buyer intends to rent it out.
- orwin 4y agoIsn't the price-to-rent ratio in the us around 16? And from what i just researched, it's like 18 in Canada, so not "Only if the buyer intends to rent it out". The price-to-rent ratio is 18 in Canada, hence it's not yet a bubble, hence housing as an investment is related to renting prices more than just something to happen in a bubble.