re: Real estate or stock market?

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equity in my business

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What kind of business are you in, if you can say without outing yourself?

I motion that yall should start a RE discussion thread if that is something that interests all of you. I'd like to read it for one.

In long run the invest and leave it alone produces same yields on average as the daily trader due to fees. By the time you get the news the market already accounted for the news.

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you can do better in the stock market... the issue though is all you own is a piece of paper

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The same is true in real estate. Having title to a property is nothing more than having the ability to claim in a courtroom that you own something, just like a stock certificate.

And when I say that "you own something", what I really mean is that the government promised to honor your original investment. You are merely appealing to superior firepower in either case.

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Lmao

If you paid attention to the original questions posed by the op there is plenty of valuable info in those links. Nobody here promised to post links that took you by the hand. The links state facts and show how the numbers can workout so he can see the possibilities. I'm actually using a similar system. You wanna dabble in RE? You will have to educate yourself like on any other investment. You want hands on help? Sign up for workshops on that site. They have mentors Also. Take action. Be a mover and shaker. How bad do you want it??

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I agree with him, I expected more when I opened those and it was a very disappointing read.

He is way too emotionally attached to the concept.

Obviously real estate and stocks are too very different investment vehicles. Stocks themselves are innately a very diverse asset class. Some are cash flow yielding while others strictly reinvest cash flow. Some even translate to different tax implications (ie, MLPs and REITs which could loosely be included in the category of stocks). To compare and contrast something like AMZN with owning a couple of condo units is dumb.

The premise of the OP was pretty simplistic but to come in here all guns a-blazing asking people if they can handle the challenge is asinine.

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I purchased it for $18,000.

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I'm still doing fine even after the depreciation recapture tax i'm hit with after a sale. Eschewing depreciation is a huge mistake.

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Uhhh, you eschew something the IRS mandates, like annual rental property depreciation, they will come knocking soon enough. The noncash depreciation expense is helping drive your current cash flow/tax reduction annually, and some people who sell have no desire to buy more property, so an exchange doesn't matter to them. When someone sells for a profit the recapture absolutely drives their taxes and likely marginal rate up.

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really? well so far my RE returns are blowing my dividend paying stock returns out the water. Maybe what's a hassle for you isn't for me? So you telling me you would prefer a dividend paying stock paying 4% versus what i laid out earlier? with 20k invested into each? really? That makes absolutely zero sense. ZERO! That's one of the theoretical points i was making to the OP. as a matter of fact my cashflow return rate is maybe better than his possible capital gains as well.

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I don't focus on the supposedly magical dividend paying stocks. I may own some, but total return is a better long term way of looking at it. There is a reason you have likely seen better returns in RE vs equities as RE has taken much longer to recover and bargains have been available. The aggregate RE market where I live is not back to 2008 levels yet. There are still considerable upfront transaction cost to buy/sell RE as well, that seems to have been glossed over, compared to, say, free equity trades that I can make at the push of a keyboard button. I own residential and commercial RE, but I am not myopic about it nor consider it superior to other assets I own. Long term - remember, this is not just the few years you may have been buying property when bargain deals were readily available - real returns net of inflation have significantly favored stocks. People should invest in assets they have researched, are knowledgeable of, and understand the risks whatever they may be, but if I am a person with limited assets I don't think buying something with high transaction costs and could be illiquid would be top on the list.

Good point!!