- PPF Points
- 11,208
Gold and real estate- talking about the topic always results in a debate among the investors. The fact is indeed true that both have their respective strengths, but one will be better than the other depending on the investor and his/her goal. Generally, real estate is considered the most effective option for long-term wealth that provides one with rental income, appreciation, and tax benefits, but many other duties like maintenance, property taxes, tenants, legal issues, and a huge upfront cost are also part of it. Contrary to real estate, the simplicity, liquidity, and worry-free nature of gold is what describes it the best. Absolutely, you don’t need a lawyer, a property manager, or a loan to buy it. Furthermore, you can buy it in small amounts, sell it quickly, and also store it seilded safely, without the hassle of the whole process impacting you. Although the gold investment will give you cash flow at regular intervals, its real worth lays in the fact that it gives you protection and freedom of thought, especially during the time of depression when property markets can break or become illiquid. Gold has shown itself to be the only and most trusted safe haven during the periods of inflation, wars and the estimated cases of currency collapse. Real estate values generally depend on location and market, so they can be unstable, while gold is stable in terms of value- one can count on gold everywhere. Then if you prefer stability, low entry cost, or the protection in case of the crisis, gold is probably the best match for you but if wealth building through the use of a loan and don't worry any 'hands-on' work, real estate is the solution as it can provide high returns. The most intelligent investors? They are investing in both.