Warren Buffett, the Oracle of Omaha, often says stocks beat real estate for bigger returns.
A video of the 95-year-old has resurfaced. He just left his CEO post at Berkshire Hathaway on Dec. 31 after 30 years. In it, he explains why stocks top real estate.
Equities Top Real Estate
At the 2025 Berkshire meeting, Buffett noted real estate deals drag on with tough talks and extra time versus stocks.
Real estate means hard bargaining, long closings, big time sinks, and many owners involved, he said. Stocks stay simple, open, and fast to buy.
Buffett stressed stock markets handle huge trades with ease. He recalled their 2008 and 2009 real estate tries. Those ate time compared to smart stock plays with no match.
Every word in a real estate deal counts like a key player. Stocks? Sell 20,000 Berkshire shares. One call, fair price, done in five seconds. It always closes.
Buffett admitted big properties sometimes sell cheap in hard times. Yet stocks deliver better value and speed overall.
Buffett said old partner Charlie Munger loved real estate deals till the end. Still, at age 21, Munger would pick stocks over them.