We have decided to invest in the stock market and not real Estate. Real Estate is overrated and not worth it if you are looking for steady returns. It was only because of the low interest rates that we bought some homes last year. However, there is no way that we can make money by purchasing the stock market. The stock market is very volatile.
Many people ask me which real estate investment strategy is better. But there is one real estate strategy that is always better than all others.
If you’re considering investing in real estate, you should always choose an option that provides the highest return possible.
While it may seem obvious, you’d be surprised how many investors fail to follow this basic principle.
I’ve been investing in real Estate since 2004, and I’ve seen the good, the bad, and the ugly.
And, after nearly a decade of experience, I know what works.
If you’re interested in learning more, here are my tips for selecting a property that will give you the highest possible return on your investment dollar.
A stock market investor once told me, “If you don’t know which asset class is best to invest in, you’re just wasting your time!” But when I asked him why that was, he said, “Because one asset class is the most likely to generate the highest return for you.” I’m sure he was right, but I never did learn what it was. I didn’t know whether it was stocks or real Estate or if it mattered. But then, one day, I did find out.
What is the difference between real Estate and stock market investing?
There are two ways to invest in real Estate: either buy a house or rent an apartment. If you’re considering buying a home, you should know you’ll lose money in the short term.
In the long term, you could profit if you invest in an appreciated property. This is similar to investing in stocks, but some key differences exist.
You can’t buy shares in a company. However, you can buy a house or apartment.
You can’t control the price of a stock, but you can handle the rent or mortgage payments you pay.
With stocks, you can invest in any company in any industry. With real Estate, you only invest in specific types of properties.
How to buy real estate properties
If you’re considering buying a real estate property, there are many factors to consider. Some of these include:
- Property Location
- Price
- Features
- Reputation
- Taxes
- Construction
- Potential future value
- Other factors
How to invest in stocks
There are thousands of stock exchanges around the world. They’re all different, but they have a similar formula.
They buy up shares of companies and list them on their exchange.
If the shares are traded at a higher price, more people will buy them, and fewer people will buy them if the price falls.
The company announces a public offering when the shares reach a certain price. The public is allowed to buy the shares at a lower price.
So you can see that more money flows into the company when the price rises. When it falls, less money flows in.
The trick is to figure out what stock you want to invest in and how much you want to invest.
You must also decide how long you want to invest in the stock. Let’s say you want to invest for five years.
Then, you must determine how much money you can spend on the stock.
You need to multiply your money by the price per share. For example, if your $10,000 investment is worth $10, you can invest $10,000 * $10 = $100,000.
You can then divide that number by the number of shares you purchase. In this case, you can buy $100,000 * 1 share = $100,000.
Finally, multiply that number by the days you want to invest. In this case, you can purchase $100,000 * 5 years = $500,000.
So, you’ve calculated that you can invest $10,000, and you will invest for five years.
Now, you need to figure out the price per share.
You can divide $100,000 by one percentage if you purchase a single share. In this case, you’re paying $100,000 / 1 share = $100,000.
Why you should consider real Estate over stocks
While it might seem like investing in real Estate is an easy way to make money, it’s a lot more complicated than most people think.
A simple mistake can cause you to lose much of your investment. You must do your homework and use the right tools to avoid this.
Let’s say you’re looking to invest $1,000. Which real estate investment strategy is best for you?
Well, the right answer depends on what you want to achieve. For example, you can invest in an apartment building that pays monthly rent. Or you can invest in commercial real Estate that earns you monthly profits.
Both strategies are great, and both provide excellent returns. But there is one strategy that provides you with the best overall returns.
I have frequently asked questions about Real Estate or Stock Market.
Q: Can I simultaneously be a real estate agent and fashion model?
A: Yes, it is possible. We can put together a complete portfolio for our clients. We can offer a portfolio of both real estate and modeling portfolios.
Q: How long does it take to build a portfolio with you?
A: It takes as long as it takes. Most times, it depends on how much you have to show. We try to give each client the time they need to present their portfolio.
Q: Do I need to do other things besides being a model?
A: You will have to do some things unrelated to your portfolio but part of building a portfolio. You must submit pictures and press releases and keep your website updated. We can provide a list of photographers, hairstylists, and makeup artists.
Top myths about Real Estate or Stock Market
- Real Estate is the best way to make money.
- All real estate agents are good.
- Real Estate will always go up.
- All stocks are the same.
Conclusion
This is a difficult question to answer. There are certainly advantages to each. But at the end of the day, the choice is up to you.
I lean towards stock market investments because they have less risk than real Estate. In other words, if you have a bad month or two, it might not be the end of the world.
With real Estate, you could lose a significant amount of money. Or, if you invest in an area that goes down in value, you could lose your entire investment.
