UnThreaded | Threaded | Whole Thread (97) | Ignore Thread Prev | Next
Author: jgc123 Big gold star, 5000 posts Top Recommended Fools Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 81353  
Subject: Re: Home Ownership not a good investment Date: 4/29/2014 9:40 AM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0
Now that this horse has been killed, sent to the knackers yard and sold as glue, I will put on my 'pontificating old geezer' hat.

My experience from 1981 to 2000 was that our houses mostly appreciated in price and our sheltered investment accounts mostly appreciated.

Neither have appreciated as consistently or reliably from 2000-2014 as they did from 1981-2000.

That could mean that our combination of aging population, mechanization replacing people in production lines, exporting of production jobs to other countries for various reasons will mute real returns for the next 20 years or more.

If real returns are muted over the next 20 years or more:

Baby boomers who failed to save enough over the last 30 years are going to have a heck of a time playing catch up regardless of fault being ascribed to each of them individually. A 58 year old (I am 58) is looking at muted returns whether s/he is looking at housing or stocks or bonds.

Baby boomers who may have saved enough to retire continue to work because they are fearful. They continue to hold jobs that could be done by younger workers or underemployed workers trying to stay afloat.

I have reduced my expectations going forward for real returns on stocks, bonds AND my home.
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (97) | Ignore Thread Prev | Next


The Retire Early Home Page
Discussion on accelerating retirement day.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.