Is it better to invest in Realestate (apartments,houses,etc.) or stocks?

Answer 1

The word "better" is a subjective term, different for everyone, and much too general for a specific answer.

It depends on your goals, your risk levels, how much money you have to invest, where you are, and we could guess until the cows come home, but unfortunately, we aren't mind readers.

Answer 2

As always, the answer depends. I will give you my personaly opinion:

In the UK:
Stay away from real estate right now. The prices are very high (second highest in the world in affordability behind Ireland) and the BOE is stilll likely to raise rates. Since UK mortgages are variable, the cost of borrowing will continue to increase. Not only will this affect your investment, but others as well - dropping, or keeping even the property value. In addition, interest is not tax deductable from from taxes (unlike in the US).

Stocks are already on a good upswing so caution must be taken. I would suggest buying an exchange traded fund that tracks either the FTSE or the STOXX50 - or the S&P500 in the US. You pay less in fees and will likely not lose much.

Bottom line - equities (stocks) are probably a better investment in the current environment.

The US property market is very defined by geographic location - places like California look expensive (along with the North East) while parts of the midwest (Chicago, Minneapolis) look comparatively cheap on on an affordability basis. Stick with equities.

Answer 3

People have made money investing in both. It rather depends on ones temperment. In my oppinion everyone should own at least one piece of realestate, a place to live. Whether one wishes to expand ones holdings is up to the individual. Personally, the last thing in the world I would want is an apartment building to worry about. But I have been known to purchase shares in a REIT.

Answer 4

except you're retired then that's a sturdy time to purchase shares. Your investment existence is split into 2 sections, the 1st being the place you obtain wealth then you extremely retire and you reside off your investments. till you retire, that's often a sturdy time to purchase. As to scientific marijuana, no those businesses are no longer sturdy investments, they have unproven employer fashions, they're venture to the whims of politics and public opinion and the businesses themselves are in all threat to be fraudulent. you're attempting too no longer elementary to %. a inventory and you're focusing too plenty on the cost of the inventory. this is companies which you're making an investment in, so this is companies which you would be comparing. If I stated there replace right into a Porsche available for $2, shouldn't you first verify to make sure that that's a real working motor vehicle quite of a matchbox toy motor vehicle quite than basically say this is low value? You seem for what you opt to take a place in and once you have found that then you extremely seem on the cost. definite value is significant in spite of the shown fact that this is beside the point if this is not properly worth making an investment in. study some extra books, this is not as no longer elementary and complex as you think of in spite of the shown fact that this is as no longer elementary and complex as you're making it to be.

Answer 5

You'll have to decide for yourself, but I can provide with some information that will help you choose

In start contrast to stocks, liquidating, or selling real estate is a very lengthy process. If you're suddenly strapped for cash, its relatively quick and easy to cash out stock.

Next, buying stocks is interest free. Unless you pay for your home in cash, (Unlikely.) you're going to pay a hefty sum for borrowing the money to buy your real estate.

Real estate does have some excellent qualities though. You can lease or rent out your real estate to other people. This could provide positive cash flow, in many cases enough to cover your mortgage / payments.

Graciously
The Investing Sensei
http://www.investingsensei.blogspot.com

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Answer 6

The best course of action is to invest in real estate AND stocks (and bonds as well). This is called diversification.

Answer 7

Both. Don't keep all your eggs in one basket. Vary your portfolio.

Answer 8

stocks. They are more liquid.