"For the most part, the high returns of yesteryear are no longer available, regardless of the type of investment," says Real Estate Research Corp. chief executive officer Ken Riggs. "Investing in real estate is not without risk and the returns may be less than in years past, but at least investors can understand how real estate fundamentals relate to their investment."

By two measures, real estate returns may be peaking, Riggs suggests.

"As of this writing, 10-year government bonds are near 3.8% while expected real estate yields cling towards 11.5%, resulting in a yield spread of 7.7 (percentage points)—the widest gap ever witnessed over the 20 years that RERC has tracked this relationship," he explains.