房地产[外文翻译].docVIP

本科毕业设计（论文） 外 文 翻 译 原文： Chapter Twenty-Nine Real Estate Real estate should represent a significant position in every investor’s portfolio. Before detailing why real estate should be a core holding in all portfolios, a discussion of the potential negatives is warranted. I feel we may currently be experiencing a real estate bubble, similar to our stock market bubble of the late 1990s, similar to the Japanese stock market and real estate bubble of the late 1980s. Schiller, the author of Irrational Exuberance has recently voiced similar concerns. This bubble is due at least in part to the historically low interest rates that we have had for several years and the great amount of liquidity (i.e., money) being pumped into the economy. One way to measure the real value of your home is to compare what the property could be rented for in comparison to the price and then compare this to the return on any investment. As an example, if a home costs $100,000 and can be rented for $800 a month ($9,600 a year), this 9.6% return represents a solid investment. However, say the price of the home has risen more than 15% a year for 5 or 6 years and would now sell for $200,000. But the rent has actually dropped slightly to $750 a month because so many people now qualify for mortgages so there are less renters. The rate of return on the home as a rental has dropped to 4.5% ($750 × 12 months is $9,000, which is 4.5% of $200,000). Considering the amount of money invested, the illiquidity of real estate, the sales commission, expenses such as insurance, taxes, maintenance etc., a 4.5% return is probably not adequate. To be able to realize a more usual rate of return from the property, either the rent must rise or the price must drop (the more likely scenario). When the only hope of return on a real estate investment is from the favorable tax consequences (such as depreciation) or “potential appreciation,” it is very likely that the property is overpriced. When there have been multiple