5 Years in Stocks VS Real Estate: Which Made Me More Money?

In this video we analyze my real estate investments compared to the stock market returns for the last 5 years. This something people ask me all the time and is really great to run the numbers on to get an idea of if real estate investing is truly worth it.

0:00 Is Real Estate The Best Investment?
0:28 Why do people favor real estate?
1:00 Stock market returns over 30 years are also crazy
1:31 Real Estate Fees and Maintenance to consider
1:53 My Real Estate Investments
2:12 Real Estate = The American Dream
3:08 Stock Market Returns - 5 Years Later
3:52 Townhouse Returns - 5 Years Later
5:45 Palm Springs House Returns - 4 Years Later
7:22 Palm Springs House VS Stocks: 25 Year Projection
8:35 Seattle Townhouse VS Stocks: 25 Year Projection
9:50 How Leverage plays into real estate investing
10:36 My Final Thoughts: Which is a better investment?
11:53 Cash flow: Not as great as you think it is...
13:00 Outro

What Equipment I Use:

[DanielJ.Baker]

I am fifty, and speaking from experience this spot on. I love this video, it’s articulated very well, straight to the point, zero fluff and I wish someone would have told me this in my twenties.
So to all you in your twenties, this is the roadmap

[ShelbyChurch]

thanks for watching! Be aware you guys there will probably be a lot of scammy comments - people recommending someone as a financial advisor, it's usually a scam. I try to delete all the comments but they usually just make more so it's hard to keep up with them all.

[philipfletch]

First mortgages with rates of 8 to 9% and 9% to 10% were common when I bought my first house to live in, which was in Miami in the early 1990s. People will have to come to terms with the fact that we may never get back to 3%. Home prices will have to drop if sellers are forced to sell, and appraisals will drop as a result. I'm very certain that I'm not the only one thinking this.

[theTeslaking]

I’m in San Jose and the housing market here over the last 7-8 years is unlike anything I’ve ever seen. Homes that were bought for $130K in 2015 are now being sold for $590k. I’m talking about tiny, disgusting, poorly built 950 square foot shit boxes in quiet mediocre neighbourhoods. Then you’ve got Better, average sized homes in nicer neighbourhoods that were $300K+ 10 years ago selling for $750k+ now. Wild times.

[bradtrades]

Your index fund will never call you at 4am to let you know the roof is leaking.

[Jillyshrum]

Fantastic content as always! Appreciate the rare honesty and transparency. After experimenting with stocks since late 2021, I've shifted to 100% S&P 500, regretting not doing so from the start. Considering a return to individual stocks in 2024, but uncertain about safely investing $500k in the market.

[camelaMar]

Diversification made you more money 😂, both worlds

[ryannemdjen]

I was adviced to diversify my portfolio among several assets such as stocks, crypto and bonds since they can protect my portfolio for retirement of about $170k. I need advice: Do I keep contributing to my portfolio in this unstable market or do I look into alternative sectors?

[BendyChoy]

Americans are facing a tough time with their finances, especially concerning housing affordability and retirement savings.

[ChristaW.Henderson-foyw]

Hello, I don't know anything about investing and I'm looking to invest, any help? As well who can I reach out to?

[nicolasbenson]

I sold an apartment in Rochester and made about $250K. I was frustrated when I only earned $171 in interest from a regular savings account. After doing some research, I was advised to invest in stocks. Are these stocks a good point to start from?

[michaelwiebeck]

I’ve been sitting on over $545K equity from a home sale and I’m not sure where to go from here, is it a good time to buy into stocks or do I wait for another opportunity?.

[SteveTyurin]

Just starting out with investing, and I’m already coming across some mixed advice on asset allocation. People say ETFs and index funds are great for covering the market, but I’ve heard they can also include weaker stocks that might dilute returns from stronger performers. I’m aiming more for financial independence than just traditional retirement, so I’m wondering if I should be more selective or if I'm maybe overthinking it. Already made some rookie mistakes too, like selling during a recent dip, which led to unexpected capital gains taxes

[Grace.h-to]

I’m in Massachusetts and real estate in the last 6 years is unlike anything I’ve ever seen. Homes that were bought for $130K in 2015 are now being sold for $590k. I’m talking about tiny, disgusting, poorly built 950 square foot shit boxes in quite mediocre neighborhoods. Then you’ve got Better, average sized homes in nicer neighborhoods that were $300K+ 10 years ago selling for $750k+ now. Wild times.

[alexsteven.m]

After selling a couple homes in 2022, I'm anticipating a housing crisis in order to buy inexpensively. As a backup plan, I've been thinking about purchasing stocks. What recommendations do you have for the best time to buy? On the one hand, I keep reading and seeing trader earnings of over $500k each week. On the other side, I keep hearing that the market is out of control and experiencing a dead cat bounce. Why does this happen?

[muhammadufarouk]

Also remember that while these frugal habits can increase your savings, the truth remains that your savings can not make you wealthy. In other words, your savings would never be enough. The economy is designed that way. Invest your spare cash in profitable things. increase your sources of income guys.

[UYScuti-ls]

I got out of the real estate investing market about a year ago. I think its time to get into the stock market for a while. whats the best strategy to invest around 200K in this current market

[NormanGhali]

Both have their upsides. I've been in real estate but I want to put in 80k in stocks for a start but I'm not sure how to go about it. Any recommendations?

[RB-jeyj]

VGT is up 1200%! Real Estate requires lots and lots of time and money! You need to factor TAXES/INSURANCE/MAINTENANCE!! If you want Real Estate you better have deep pockets! Plumbing, AC/Heat System/Electrical/upgrades!!! It's never ever ending! Sold my 3 properties and only bought ETFs! I make more money with way less headaches!

[ElizabethCharles-uobi]

Lately i have been thinking of trying new investments like real estate.
Can someone advise me on this decision?