stock market is the perfect example of why housing is always a safer bet

Discussion in 'Trading' started by greeneveryday, Mar 19, 2020.

  1. southall

    southall

    Thats a bad way to get the best price your house, in a sellers market you never want to price your house so it sells on the first day.
     
    #11     Mar 19, 2020
    d08 likes this.
  2. tsfx

    tsfx

    Your thinking is flawed. Housing market is nothing but a "fundamental derivative of the stock market". The reason people bitch about stocks is that they keep on using leverage when buying stocks but when you buy a house as an investment for rent then you are subconsciously much much more conservative. Think about it, if you didn't need to sell your stock investment regardless what the price is then you would keep on earning the yield (the same way you would earn a rent). For simplicity sake i'm talking about investing in a whole stock index of course not stock picking.

    Atm, stock indexes offer more risk free yield than what you would get from a rent. So, why would i bother dealing with all the work related to renting out my place ?

    And if things REALLY go south then believe me, everything will go south and your condo is just as worthless as everything else and you don't need to go and buy toilet paper anymore cause you already have that in your wallet.

    The jobs and the businesses are the foundation of an economy which is reflected by the stock market that is mixed with quite a huge grain of human emotion.

    Everything else (including your real estate) is pretty much a derivative of that.
     
    #12     Mar 19, 2020
    comagnum, Nobert, gkishot and 2 others like this.
  3. ElCubano

    ElCubano

    And defaults as well. Non-QM lending froze up overnight.
     
    #13     Mar 19, 2020
  4. d08

    d08

    On a somewhat related note, I've done some lending on small scale personal lending platforms and payments have fallen behind considerably in recent weeks. I suspect many are just taking advantage of the chaos.
     
    #14     Mar 19, 2020
  5. S2007S

    S2007S


    How does that work? I was looking into that but thought it was somewhat of a gimmick. You know those personal lending platforms. Which ones do you use? What's your average rate of return?
     
    #15     Mar 19, 2020
  6. d08

    d08

    Mintos. Not sure if they are available to Americans. Returns vary, I found 15% decent in an upmarket but during volatile times and 11% returns, it doesn't justify itself. I'm mostly divested now.
     
    #16     Mar 19, 2020
  7. zghorner

    zghorner

    @greeneveryday has convinced me we should all short the housing market biggly.
     
    #17     Mar 19, 2020
  8. “From 2015 to 2017, California saw a net loss of between 129,000 and 143,000 residents to domestic migration each year, according to census estimates. ... California has lost more people to other states than it has gained for much of the last two decades, census figures show.Nov 5, 2019
    ———————
    Cali sucks and you’re a moron
     
    #18     Mar 19, 2020
    zghorner likes this.
  9. zghorner

    zghorner

    Screen name checks out and California does suck.
     
    #19     Mar 19, 2020
  10. SanMiguel

    SanMiguel

    Lol. Lookup CDOs and 2008 crash.
     
    #20     Mar 19, 2020