Toronto Real Estate continues to improve from the lows of the last half of 2008. Conversations and Internet forums worry about the risks involved in investing in the stock market and even investing in Real Estate.
Many investors and home buyers are swayed by professional fear mongers who advise do not buy a house, do not buy into a bubble, and don't borrow to mention just a few hot topics.
A recent stock-market analyst charted the average Greater Toronto resale home price over the 25 years of monthly closes of the TSX.
The good news is that both assets trended upwards:
- The TSX returned about 10 per cent annualized
- The single family home returned about 5 per cent annualized
The higher return of stocks is accompanied by a higher volatility and the lower return on a home is accompanied by tax-free gains and most important shelter.
