Stocks vs. Storeys

Case Study: Stock Market vs. Real Estate in Toronto - what's the right option?

Sam & Jamie chose the stock market:

In 2018, Sam and Jamie invested in a diversified stock portfolio. By 2023, their portfolio had grown by 45%. The stock market saw a strong recovery after the 2020 downturn, but they experienced some volatility, particularly in 2022 when interest rates and inflation began to rise.

Charlie & Olive decided to invest in real estate:

Charlie and Olive purchased a home in East Toronto in 2019. By 2023, their property had appreciated by 50%. Despite some early market uncertainty, their home’s value increased steadily, and they built significant equity while avoiding rental costs. They also had the added benefit of a stable, tangible asset.

Analysis: 

While Sam and Jamie enjoyed solid returns from stocks, their investment was subject to market fluctuations. In contrast, Charlie and Olive saw slightly higher returns from real estate, benefiting from long-term appreciation and the stability of owning a home.

Both investments had their advantages, but real estate just tipped the balance with higher returns and greater financial security.

Whether you’re leaning toward stocks or real estate, understanding your needs and goals is crucial. If you’re unsure, we’re here to help you navigate your options.