wabmester
Thinks s/he gets paid by the post
- Joined
- Dec 6, 2003
- Messages
- 4,459
In another thread, somebody reposted a posting from somebody on some other board, and one of the points was that long-term returns from real estate hasn't been good. I've never seen any data to support that view. So, here's the first thing that google came up with on the subject:
From A Perspective on Long-Term Real Estate Returns
Cap-weighted US annualized returns by decade (based on research by Dimson):
1926-1929: 11.9%
1930-9: 8.1%
1940-9: 13.7%
1950-9: 6.2%
1960-9: 6.5%
1970-9: 10.1%
1980-9: 11.1%
1990-9: 5.5%
2000-2: 8.4%
In another report, they project 10-year annualized returns for various asset classes.
US Stocks: 7.3%, SD = 17.8%
Real Estate: 9%, SD = 13.1%
Bonds: 4.4%, SD = 6.5%
From A Perspective on Long-Term Real Estate Returns
Cap-weighted US annualized returns by decade (based on research by Dimson):
1926-1929: 11.9%
1930-9: 8.1%
1940-9: 13.7%
1950-9: 6.2%
1960-9: 6.5%
1970-9: 10.1%
1980-9: 11.1%
1990-9: 5.5%
2000-2: 8.4%
In another report, they project 10-year annualized returns for various asset classes.
US Stocks: 7.3%, SD = 17.8%
Real Estate: 9%, SD = 13.1%
Bonds: 4.4%, SD = 6.5%