Buyer Considerations – 2014 Real Estate vs. Stock Market

The above graph compares the investment value of real estate vs. the stock market using the Dow Jones Industrial Average. Consider the following:

During the first 9 months of this year, stock market values have been volatile, initially losing nearly 6% of its value. At present, the market is up a little over 3.5%. Experts are concerned that the market could see as much as a 20% correction, or drop in value in the near future. Real estate has been more stable with values increasing 9% this year in many markets. Perspective home buyers that have the opportunity to buy real estate in these markets may end up with a better investment if they take a portion of their money they have out the stock market and invest it in real estate. When it comes to investments, timing is everything and the time to invest in real estate is now!