There’s plenty of real estate investment that does not depend on the real estate being rented out. That’s why laws get passed that require some real estate to be rented out.
One of the attributes of real estate is that it’s a lot less liquid than stocks and economic theory suggests that market participants should pay a premium for liquidity.
Finally, it’s wrong to say that anything with less expected returns than stocks is no investment. People all the time invest money in treasury bonds that have less expected returns.
There’s plenty of real estate investment that does not depend on the real estate being rented out. That’s why laws get passed that require some real estate to be rented out.
One of the attributes of real estate is that it’s a lot less liquid than stocks and economic theory suggests that market participants should pay a premium for liquidity.
Finally, it’s wrong to say that anything with less expected returns than stocks is no investment. People all the time invest money in treasury bonds that have less expected returns.