No Way, No How! Don't Compare them!
I have a distinct bias for real estate as an investment. This preference is based not just on principle but also on practice and the very real returns and values not found in any other asset.
- You can invest in real estate assets
- Secure them by title filed with the local county recorder,
- Control three to five times the amount of your direct investment (a deposit) through mortgage leverage,
- Insure the principal property against loss,
- Gain positive income from renting the asset,
- Adjust the income to accommodate inflation,
- Buy revenue assurance coverage to prevent income interruption,
- Hire professional property or asset managers to ensure the income and the property are maintained,
- Apply the rental income to paying down mortgage debt, and then
- Benefit from the almost inevitable appreciation.
This is typical of any investment in income property, whether it is single, multifamily or commercial.
No stock, bond or fund can claim this – at least, not in my experience.
This is not to say there is no risk, but it is far more predictable when it comes to picking investment-grade real estate.