Comments on: Putting The Real Estate Crash In Perspective http://amateurassetallocator.com/2009/12/07/putting-the-real-estate-crash-in-perspective/ Amateur Asset Allocator Tue, 22 May 2012 02:58:13 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Fred http://amateurassetallocator.com/2009/12/07/putting-the-real-estate-crash-in-perspective/comment-page-1/#comment-6292 Fred Mon, 07 Dec 2009 19:31:34 +0000 http://amateurassetallocator.com/?p=3009#comment-6292 The returns from 1975 to 1980 would be influenced by the high inflation rate at the time, but I would not be surprised if there were higher than normal real returns in real estate during that time. REITs are a good way to diversify your investments and reduce overall risk. However almost all of my investment books written before 2000, show historical average REIT returns somewhere between bond returns and stock returns. The returns from 1975 to 1980 would be influenced by the high inflation rate at the time, but I would not be surprised if there were higher than normal real returns in real estate during that time.

REITs are a good way to diversify your investments and reduce overall risk. However almost all of my investment books written before 2000, show historical average REIT returns somewhere between bond returns and stock returns.

]]> By: Kyle http://amateurassetallocator.com/2009/12/07/putting-the-real-estate-crash-in-perspective/comment-page-1/#comment-6291 Kyle Mon, 07 Dec 2009 19:03:45 +0000 http://amateurassetallocator.com/?p=3009#comment-6291 The 1975-2005 number is 13.8% per year according to: http://www.investinreits.com/reasons/performance.cfm. I'd have to do some searching to find 20 year numbers. The 1975-2005 number is 13.8% per year according to: http://www.investinreits.com/reasons/performance.cfm. I’d have to do some searching to find 20 year numbers.

]]> By: Fred http://amateurassetallocator.com/2009/12/07/putting-the-real-estate-crash-in-perspective/comment-page-1/#comment-6290 Fred Mon, 07 Dec 2009 18:56:59 +0000 http://amateurassetallocator.com/?p=3009#comment-6290 Real estate typically has around a 18.5 year cycle plus or minus a few years. Ten years only captures a little over half of this cycle. I am interested to know what the last 20 year REIT return average is. Real estate typically has around a 18.5 year cycle plus or minus a few years. Ten years only captures a little over half of this cycle. I am interested to know what the last 20 year REIT return average is.

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