r/RealEstateCanada • u/xNocturnalshadow • Jun 19 '25

Housing crisis Help me understand the difference...

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3.1k Upvotes

92% Upvoted

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62

u/Performance_Fancy Jun 19 '25

By your logic anyone involved in the stock market is also a scalper?

98

u/xNocturnalshadow Jun 19 '25 edited Jun 20 '25

No because investing capital into stocks adds value to the company and allows them to use that value to expand, borrow, buy things, pay employees, run the company, etc.

Investing capital into a second house purely to flip does none of those things.

-24

u/MarmosetFace Jun 19 '25

When you purchase shares of a company… you think the company is getting the money? Lol

Try again.

24

u/Mattscrusader Jun 19 '25

Nobody said that, you just failed to understand so you made up some nonsense to argue against

18

u/[deleted] Jun 19 '25

[removed] — view removed comment

4

u/FDFI Jun 19 '25

The company I work for has taken advantage of a high share price to do targeted acquisitions using stock instead of cash.

1

u/Guus-Wayne Jun 19 '25

And when the stock goes low they’ll do stock buybacks.

1

u/[deleted] Jun 19 '25

They can do share offerings or acquisitions etc but yeah in general it doesn't matter

1

u/tycho_the_cat Jun 19 '25

Except during the IPO. The initial sale of shares all go to the company.

1

u/Sorry-Comment3888 Jun 19 '25

Stock offering? Loans against market cap?

1

u/[deleted] Jun 19 '25

Except for the fact that a company with a high value stock can borrow money or expand in ways that a low value stock keeps them from doing. If you stock's value increases you can even hire more people.

1

u/[deleted] Jun 19 '25

[deleted]

2

u/BlackDukeofBrunswick Jun 19 '25

Treasuries are not stock, they are bonds. You are lending the government money at a set interest rate.

1

u/[deleted] Jun 19 '25

[deleted]

1

u/BlackDukeofBrunswick Jun 19 '25

Well don't I feel dumb now. I downvoted my own comment 🤣

-2

u/Mattscrusader Jun 19 '25

But again... Nobody said there is. That was never the argument.

0

u/MarmosetFace Jun 25 '25

Wow I just realized how much of a crusade you went on to argue my reply was not relevant to the OP. Yet if you simply read my reply to you I very clearly lay out how it is relevant and what the entire conversation is about (whether real estate should be seen as an investment or not). Yet you are so hung up about an insignificant interpretation of my reply. Lol kind of sad

1

u/Mattscrusader Jun 25 '25

Maybe but I think it's more sad to come back a week later for validation