Stocks vs real estate


#482

Antioch homes also increased much faster initially than South Bay homes because they dived more during the recession. Which brings another benefit to SFHs in this debate: they can hold value much better than MPLXs. In the event of a recession, MPLXs lose more value.


#483

Thought everybody feel Fed is so good that economy is always goldilocks, any recession would be mild :slight_smile: i.e. 2009 won’t be repeated :slight_smile:


#484

All the stock pros here made their money in the last 10 years. What about 1929-1953. 1967-1981. 2000-2009.
Same with RE. 2009-2018 was a boom. Won’t last forever.


#485

True, SFH has flexibility, but MF does not have, only cash flow.

MF is good for buy and hold

SFH is good for flip.


#486

We can not expect a return of 2008/2009, it will be lesser than that, but how much? No general population knows how much impact.

FED always hike the rates when economy is full swing as they want the economy to withstand the pressure and grow.


#487

Oh Yeah! Yeah! :drooling_face: :stuck_out_tongue_closed_eyes::man_dancing: :man_dancing: :man_dancing:


#488

2 observations:

  1. @Elt1 should talk less and listen more when it comes to stocks
  2. @hanera should brag more about his stock winning so people can understand the benefit of long term buy and hold

#489

shots fired.


#490

I bought stock in 80s and 90s still holding .
Never used them to make a living just for the
sep Ira tax deduction.
Probably will never sell and my wife inherit them and she hates stocks, too volatile, will sell them all. RE is my profession. I spend the most time on my profession. But I have decades of stock knowledge and was actively trading in the 80s. I prefer RE because my knowledge and experience give me an edge.


#491

I think it’s good that you have employed a long term buy and hold strategy but I’m pretty sure your stock portfolio is tiny compared to your RE portfolio. I think you could have done much better had you put more effort into accumulating assets in stock the same way you did with RE.


#492

I see elt1 picks are very clear dividend stock and he looks exactly when those stocks at near bottom level.


#493

Everyone is a stock amateur unless you have inside info. I have inside info in RE and use it. Perfectly legal
But not for stocks.


#494

Rather than debating, let check real numbers. Jil, elt1 and qijun PM me their net worth and age, I would apply my proprietary algorithm to churn out a ranking list, this list doesn’t rank by net worth only… is net worth adjusted by age.


#495

(Just reading the end of this thread), I agree. On the flip side stocks are public and so are the financials. Companies’ performance will impact shareholders’ portfolios worldwide, but the biggest effect it has locally is on RE. Tech companies are inextricably tied to Bay Area’s economy and real estate in the last couple of decades.


#496

That was my idea!!! You stole it!!! :rofl:


#497

It’s funny you advocate everyone else buying more stocks. Yet, you’ve been diversifying more and more into RE. Wouldn’t you do better if you use your account margin to just buy more stocks instead of buy RE?


#498

Wish I had put more money in stocks in 2009 :expressionless:. Hindsight is 20/20.

Having said that my primary price has increased surprisingly high in a short period. So relieved.


#499

Good observation.


#500

Because I had the opposite problem. I had too much assets in stocks and no exposure to RE besides my primary. So I had to compensate by diversifying into RE. Now I’m at a point where I’m more comfortable with the distribution of these assets.


#501

I thought you said you have over-compensated? Your ideal stock vs RE is 1:1 right? Vaguely recalled you said currently is 40:60.