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0 pointsthrowaway20377d ago0 comments

    > already-near-zero margin on real estate development

I did a little bit of research. I looks like 15-20% is a normal target margin for the United States. Is this really "already-near-zero"? I disagree.

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8.7% net profit during a period of explosive appreciation across the nation.

Normal net profit is about 7%.

S&P 500 has been returning more than twice that annually over the past 10 years.

That is how real estate financing decisions get made.

j / k navigate · click thread line to collapse

0 pointsthrowaway20377d ago0 comments

    > already-near-zero margin on real estate development

I did a little bit of research. I looks like 15-20% is a normal target margin for the United States. Is this really "already-near-zero"? I disagree.

8.7% net profit during a period of explosive appreciation across the nation.

Normal net profit is about 7%.

S&P 500 has been returning more than twice that annually over the past 10 years.

That is how real estate financing decisions get made.

j / k navigate · click thread line to collapse