Is investing in stocks a better choice than investing in property? ?

Coming from the perspective of someone who has invested in both properties and stocks, it does not need to be one of the other. That said, here are the key differences based on my experience:

Initial Cash Outley/Capital Needed

Firstly, from an accessibility perspective, you would need lower capital to invest in stocks. Unless you have a large amount of cash lying around for down payment, it is not likely that you will be able to pay for property from the get-go.

Risk profile

There are two camps to this. Investors who prefer stocks will say that:

• Rental properties require more work (I did have to spruce up the apartment and we gave it a new coat of paint)
• Risk of tenants damaging the property (I just had to pay for things when say, washing machine broke down, but so far my tenant has been a nice person!)
• Tenants gone rogue and don't pay rent (happened to me as well)

On the other hand, property investors, will tell you the age-old:

• Property will always be there. Ie. is it more tangible.
• Not as volatile as stocks
• Not at the mercy of speculators who dictate the market performance.

Holding Power

I definitely will not sell my property now as I am in it for the long term (and see a significant appreciation in value), but I can sell my stocks anytime I need for liquidity. Think about how much liquidity you will need - property does not offer that level of liquidity.

Hi,

It is depend on your preference because stocks can be more volatile than property. If you feel emotional every time when your stock price decrease then property should be the better instrutment for you.