We all know that A Real estate business is a business entity that deals with Various aspects of investment like Buying, Selling, Renting and so on of real estate properties. Acknowledging the fact that Starting to invest in Real Estate properties is a big decision that you need to make but with the right guidance and resources which will help you with great calculation analysis that we tend to do before buying a property, trust us, if you can understand the process, then the results will be well worth the work.

A friendly tip from Tricolour is that there are multiple resources that can make your learning process easier and more efficient. Read through our paradigm below that we have drafted for you all to know which is a better investment, after all, this is designed for your understanding so you can make choices that will help you succeed whenever you are in a tricky situation of investing in real estate properties or stocks.

A friendly tip from Tricolour is that there are multiple resources that can make your learning process easier and more efficient. Read through our paradigm below that we have drafted for you all to know which is a better investment, after all, this is designed for your understanding so you can make choices that will help you succeed whenever you are in a tricky situation of investing in real estate properties or stocks.

Let’s dive in and know-how Real Estate Investment is much safer than Investment in Stocks when you are planning to invest.

Key Features of Real Estate Investment

1. Real Estate has a high tangible asset value.

When you invest in real estate properties, there will always be value in your land which adds value to your home. There will be multiple sources of earning, may it be through renting property Another safest thing about this investment is if you invest in a property from a reputed company, the return on your investment is always guaranteed and there are no worries of security other investments can leave you with little or no tangible asset value such as a stock which can dip to zero, or a new vehicle which after a while depreciates in value. In Real estate, Homeowners insurance will protect your investment even after you.

2. Real Estate value always increases over time but never falls to Zero.

The surprising fact about real estate is that there is always an emotional satisfaction and happiness when you own a property or properties because we know that we have a security that we can always look to. With properties, there is always an assurance of stable returns regardless of Market fluctuations and so is why we suggest that Real estate is risk-free compared to stocks and shares. We are stressing on this again that real estate provides good and substantial returns for a long time.

3. Real Estate has many Taxes Benefits.

This is a very important aspect of why real estates are one of the wisest investments. You can get tax deductions on mortgage interest, cash flow from investment in properties, and Capital gains.

4. You will be the owner of your property.

This is a very personal feeling that one can get and why Real estate investment is a better choice. Considering if you make an investment in stocks, it doesn’t make you own the company or an entity, you just own a tiny part of shares of a company and you can never call it yours completely. Having said that, investing in real estate gives you that total ownership of having a house or a huge property which you can always say proudly that it belongs to you, and you can make your own decisions of what to do with your property unlike depending on any company for what’s going to happen next which is totally uncertain in the case of Stocks.

5. Don’t Forget the Cash Flow!

Let us give you a small brief on this first, cash flow is basically the net income you get out of the investment you make after all the expenses. Real estate properties are by far the best choice one can make in terms of generating a cash flow. If you are considering investing in a property, this is one of the things you need to make sure of that will benefit you in a very impressive way down the line.

Let’s now understand how Stock investment is riskier.

1. Stocks can lack in value

The stock values are very uncertain and fragile as it always depends on the demand factor. There is a high possibility of stocks losing all their value if a stock’s demand dramatically drops. Unlike Real Estate properties, stocks always are a risky investment as it is highly inclined towards the performance of the company, once they lose their demand, you can even go Bankrupt.

2. Stocks have a soaring inflationary rate.

Let us give you an insight that nobody usually tells you, especially if they are investing in stocks too or encouraging you to do so. Always know that Stock values can be extremely unstable with their prices in the market, leading to a very riskier investment. When you acknowledge this risk factor and try to sell your stocks which may result in capital gains tax, making your tax burden much heavier. One more thing that nobody tells you is that though stocks don’t have heavy investment requirements, but it is only possible for your holdings to grow when you invest a lot of money in the market.

There will be various other benefits like mortgage value will be less, your equity will build up which can open possibilities of investing in more properties, and help you with numerous tax deductions as mentioned, Improving your portfolio and wealth.

We at Tricolour properties with our expertise in this area for over a decade now help you have your ideal property with a keen analysis of your requirements and provide you with the best options that will give you an opportunity of investing in your dream space that you can call it “Home.”