In what ways are the stock market and the real estate market related?
Posted by admin on 18 Jun 2008 11:31 pm. Filed under Investing.
NewToStocks asked:
Such as: Do foreclosure increases affect the stock market and in what ways? What happens when deeds recorded decrease? What happens to the stock market when median home prices go down? What happens when new construction permits decrease? This is of course referring to residential real estate, but what about commercial real estate? Thank you very much for your input.
Such as: Do foreclosure increases affect the stock market and in what ways? What happens when deeds recorded decrease? What happens to the stock market when median home prices go down? What happens when new construction permits decrease? This is of course referring to residential real estate, but what about commercial real estate? Thank you very much for your input.

On June 19th, 2008 at 9:31 am
the stock market and people who manage pension funds directly influence the property market in so much as they invest heavily in it. It has a history of out performing the FT100 etc. With a decline in the property market this will affect the returns of the investors in funds and pension funds and so affect the stock market.
Hope that made sense.
On June 20th, 2008 at 6:03 am
“Related” – we need to define that term. That said, If Johana from Main St sees a drop in Stocks she may choose to invest in real estate instead… and vice versa… just my two cents…
Be kind and answer my open question about Bill Gates.
Thanks.
On June 22nd, 2008 at 9:39 am
Real Estate Prie fluctuations are linked to the prices of the Real estate shares, also the output & diversion of flows towards share market, makes a direction on the market.