You’ve worked hard to save up a pretty penny or two.  And now you’re looking to invest.  Yet, with so many options out there, how do you know which one will provide the income boost you need?

The crux is – everything comes with its own risks and gains, so it’s advisable to do a bit of research first.  After all, your circumstance will be quite different to the next person’s.  And not all investment opportunities are created equal.

Of course, one question on everyone’s lips is whether it’s better to invest in shares or property.  Both seem to be attractive possibilities.  But how on earth do you work out which will be more lucrative?

The good news is, we’ve done a little bit of an analysis for you.

It probably doesn’t help to know that both have seen some significant growth since mid last year.  So, they still appear to be on a level playing field.  But let’s take a closer look.

Here’s how they compare:

 

  1. Share trading is all done for you by a broker (although you do have the option to go it alone). Property requires a bit more input from you, but it means you have greater control.

 

  1. Share trading can be volatile, unpredictable, and risky. Property investment is considered a safer, more traditional way of growing your wealth.

 

  1. Share trading only requires the money you use to purchase your shares. But (aside from a few potential dividends) you only get rewarded once you sell.  And the market can fluctuate at the drop of a hat.  Property investment requires larger amounts of upfront & ongoing capital.  But you have the potential for constant income from renting, as well as a continual increase in value.

 

  1. Shares are only as profitable as the day the price goes up. Property gives you guaranteed equity to buy more investments and grow your wealth exponentially.

 

  1. Share prices are 100% out of your hands. But you can up your property value simply by renovating.

 

  1. Many people like the tangibility of a “brick & mortar” structure they can see and touch. It helps them feel secure in their investment.  Shares are a little more abstract and unfixed.

 

According to a 2018 ASX report, residential investment property saw better 20-year gross returns (than shares).  Though, this analysis factored in various market fluxes.

So, which is better?

It really does come down to personal circumstance.  But if it were up to us?  Property investment wins hands down!  Especially when you do it right.

If you’ve thought about investing in real estate, but have had your doubts, come and talk to us.  We have a unique strategy that’s both affordable and highly profitable. Plus, we mitigate all the usual risks to put your mind at ease.

We’ll argue for Team Property every time.