Mad Mad Money Feb 2017 | Page 15

Mad Mad

Money

Real estate investments are closely associated with our life since we have grown up hearing our grandparents speaking that investing in soil is a real investment . Stock Market on the other hand is considered as something that is associated with the upper class society for times unknown .

THE GOLDEN RULE
Both Real Estate and Stock market require a lot of monitoring when it comes to the appropriate timing . It all depends on the happenings not only around us but globally . Many a times , a global issue can decide the fate of our stocks and the fall of real estate prices . Above all , it depends on the investment capability of the individual who really need to take a call based on his financial elasticity .
TIME FRAME
Time frame is one of the crucial aspects that influences decision making pertaining to investing in Real Estate or Stocks . Investing in Real Estate needs association with genuine dependable network so that the pros and cons of the property to be invested in can be understood clearly . Inspection and paper work pertaining to the property may require a lot of physical effort and time . The time frame to invest as well as to reap the real benefits is a highly extended one when it comes to Real Estate . On the other hand , investing in stock can be an easy one and does not appear as cumbersome as in Real Estate
THE DIFFERENCE
Irrespective of whether you are investing
Investing in Real Estate is considered as a safer one merely because the piece of land or property invested in is right in front of the eyes .
in a Real Estate or in the Stock market , the spade work that needs to be done is the same . Monitoring the growth or performance aspects of Real Estate and Stock differs . Investment in Real Estate is usually done with a long term goal in mind and so does not need day to day monitoring . While stocks can be profitable when held over for long time , constant monitoring as closely as possible is the basic requirement .
THE PSYCHOLOGICAL ASPECT INVOLVED
Investing in Real Estate is considered as a safer one merely because the piece of land or property invested in is right in front of the eyes . It can be touched , felt and shown to other providing psychological support to the concerned . When it comes to investing in Shares , it is a considered more of a concept though the investor holds a portion of the Company they are investing in . Many feel highly insecure to invest in stocks since the complete control is not in their hands . Co-Stock holders who hold major number of shares decide on how much of the profit needs to be re-invested in business which may not be acceptable from a small investor point of view . This shakes them up psychologically from time to time
THE REALITY
People invest in real Estate with a practical mindset that they will reap benefits from the property only on a long term . In the case of stock , profit remains the only goal right from the time of investment . Many investors fail to realize that stocks that are traded for longer periods of time provide more profit . The decision to invest in Real Estate vs . Stock Market can really be taken easily , when the concept of money and how you want to handle the same in understood clearly
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