"gross yields of around 4%, net yields more like 1%"What...

  1. 398 Posts.
    "gross yields of around 4%, net yields more like 1%"

    What difference does it make to the value equation?

    For owner occupiers the yield on property is their yield as it is a reduction in lifetimes liabilities so the net yield is 4.3%.

    Your logic implies that owner occupied home ownership is under-valued and investment properties are over-valued?
 
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