I see, I was going by the note under table 2 that said 'annual global returns in 16 countries, equal weighted'.
I did find another reason that reported housing returns are too high though. This is their key input 'net rental yields [which] use rental income net of maintenance costs, ground rent, and other irrecoverable expenditure'
That neglects to factor in that after say 50 years most houses need to be replaced or massively renovated. Factor in that expenditure and the real returns should be somewhere between 1 and 2 percent lower.
I did find another reason that reported housing returns are too high though. This is their key input 'net rental yields [which] use rental income net of maintenance costs, ground rent, and other irrecoverable expenditure'
That neglects to factor in that after say 50 years most houses need to be replaced or massively renovated. Factor in that expenditure and the real returns should be somewhere between 1 and 2 percent lower.