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I take issue with the assumptions of the second chart. If we allow the author to assume 6-8% growth in the stock market over the 25 year period shown in chart t
by brewdad 11y ago
I take issue with the assumptions of the second chart. If we allow the author to assume 6-8% growth in the stock market over the 25 year period shown in chart two, surely assuming 0 change in value of one's condo over the same period is nonsense.
Perhaps, I might allow for 0 change in "real" prices, but since the author is not making adjustments for inflation in his calculations, his assumptions suggest Toronto condos will be worth 40% less in inflation adjusted dollars 25 years from now.
While this is one possible future, it seems incredibly unlikely given the optimistic outlook for his equities growth.