Investments

Which is the Better Investment Real Estate or Stocks?

Disclaimer

If you’re out there wanting to invest in something but not sure what to invest in. I hope this post can help you out today. When it comes to investing there are two really good options, I love to always look at first. Myself I always look at these two first because I feel they are the safest for my needs when it comes to investing. I love the many ways they both provide me with when it comes to making money. I think both are great but today we will be seeing which one is the best one. So, I’m not going to hold you any longer let get to it.

Real Estate

Now when it comes to real estate this one here is like my go to for real. I stated many times thought out the blog how I got started in real estate investing. Real quick again some friends convinced me to not sell my condo but instead rent it out. From there I was hooked. I just started buying properties to rent out until I wanted more knowledge. So, I started looking for other ways to investing in real estate. So, let me share with you all how many ways there is to make money in real estate. Making it one of the best investments in my book.

Investment Group One

Since we already have went over renting out properties, let’s stay here for a moment. Renting out properties is an amazing way to make passive income. If your property is in great condition and your tenants are good responsible people. You should be all set. You have real estate appreciation as well my friends. The old buy and hold guys. Buying property in the right neighborhood or at the right time can really benefit or pockets when the time come to sell. You have the house flipping that many do nowadays. Where you buy a property fix it up and sell it for a profit. We also have Real Estate Investment Trusts better known as REITs. It’s like buying a stock for real estate that pays you dividends. Not only that buy it just as liquid as stocks as well. Today we have Short-Term Rentals as an income stream as well. With platforms like Air B&B, you can make a lot of cash as well. Commercial real estate is enough great way to make money too. Rent out commercial real estate to businesses owners looking for a place for their business.

Investments Group Two

We’re Not even done yet, there are still more way to make money in real estate that we have to get too. Real estate Development where you buy land and build on there to either rent out or sell it. Next, we have up on the list is wholesaling, where you are flipping contracts. Finding properties and negotiate purchase contracts. Then turn around and give the contracts to other buyers for a fee. You also have partnerships in real estate. Where you can go on joint ventures with other investors and share the profits. Consulting is up next. Get paid for giving out your expertise in the real estate. If you don’t own any property right now don’t worry you can still, make money in the market. By being a property manager. Get paid to manage other people properties for them. Next up we have lease options. You let someone rent out the property with the option to buy at the end of the lease. Let’s not forget we have tax liens and deeds where you can buy properties for cheap through tax lien or tax deed sales. Turn around fix them up and sell them for a profit. Lastly, we have raw land investing. This is where you do a buy and hold with land and just resell it. With that my friends we will now be moving on to stocks.

Stocks

I must say I love stocks as well. I got into stock before I actually got into real estate. quick story on how that happened. I’ve been working and saving up for God knows what. Till one day I was around some of who are more well off than myself. And I was telling them how much money I had saved up so far. They asked me what I had planned on doing with it. I told them it was for a rainy day. Because I didn’t really have any real goal in mind at the time. They begin to tell me how much money they had on hand. And it was all lower than mine. But they were all better off then I was. So, I asked how is this possible. they said because their money is in investments. That they don’t believe in having their money just sitting around. They prefer for their money to work for them. So, I asked what they were invested in. They gave me all kinds of answers. Now I asked where they think I should start. They agree I should start with stocks. They gave me some tips and sent me on my way. After dealing with the stock market for a while, I learned so many ways to invest in stocks. Today I’ll be sharing them with you all.

Investment Group One

Let’s start with the one must people will know on the list today, Capital Appreciation. This is the good old buy low and sell high approach. After that we have the dividend-paying stocks. These are the stocks that pays you a sum of money for investing in their stock. You also have the long-term approach as well. Where you buy and hold over time and sell when the price is right. There’s the Index Funds and ETFs. These are a group of stocks you can invest in that is lumped into one stock. So, when one is doing bad the rest can make up for it. Some people like to invest in growth stocks. These are stock many people think will above-average rate. Then you have value investing, looking for stocks you can invest in early. In hopes everyone else will invest in later. You have your day trading as well. Where you buy stock and sell them as soon as they go up in the same day or same hour if that.

Investment Group Two

Starting off the second group for us is swing trading. Where you buy stocks to hold for days or weeks in hopes of it goes up or down. Next, we have options trading. Now this one is really easy to not explain correctly so if you want to learn about it speak with a professional my friends. on the other hand, we have Dividend Reinvestment Plans (DRIPs). Where you just reinvest your dividends to make more money on your dividends. There’s also Stock Splits and Buybacks. Where you get more stocks if the stocks you own split. The buyback is where companies repurchase their own shares back, making the share value go up. Now we have IPO Investing. Where you invest in stocks going public for the first time. Giving you the chance to make money on their growth. You have Partial Stock. Where you can buy part of a stock if you don’t have enough for a full share. Meaning you can still make money just not as much. Now Stock Lending is another one you will definitely have to speak with a professional about my friends.

Summary

Now that we are at the end of this one, I want to give you guys my opinion on the matter. To me I’m going with real estate as the better option. Because I like having something I can feel. I like to walk in a property and see how beautiful it is. Being able to stay in different locations when they’re not sold or rented out. I like the many ways I can make money from them. Stocks have their own set of benefits as well, I just like real estate a bit more. Now this does work for everyone. So, to each their own. Now that we have at the very end, I would like to say thanks. For your time and the visit. Please come again and tell all your friends and family about the blog. Let me know in the comments which one you pick out of the two. God luck out there!