Real estate and gold have a strong sentimental value in India, hence people invest in both, as per their needs, purpose and budget. The risk-taking capabilities and investment tenure play a crucial role in any investment. How do you choose where to invest?
Gold has always been a primary investment option for Indian households due to its religious importance and the tradition of wearing it at crucial family functions. On the other hand, real estate also ranks high as an investment option as it brings financial security and higher returns apart from giving you a solid roof over your head for generations to come.
With real estate investment, one also enjoys price appreciation apart from rental income and tax benefits irrespective of residential or commercial property. It becomes easy when the property is developed by a reputed builder or company like IThum World.
Real estate vs gold, if you are still wondering which is the best investment option for you, here is the explanation below that will help you make an appropriate decision.
Real Estate Vs Gold: Which is the Right Investment Option?
Read the following information carefully and accordingly, take a decision that best serves your interests:
Size of Investment
The demand for real estate properties is always on the rise, but it has increased drastically in big cities like Mumbai, Delhi NCR, Kolkata, Chennai, etc. This is the reason investing in real estate requires a huge investment/budget.
In the case of gold, you are free to invest as low as 1 gram, 5 grams, 10 grams or any amount depending on your investment capacity.
Investment Tenure
Real Estate is best for long-term investment as the property’s value increases over time, which gives a higher rate of interest in future. As far as gold is concerned, you can hold gold for both the short and long term, but it gives minimal returns.
Earning Potential
Real estate investment is the best way to generate a regular monthly income, which gold investment does not offer. After buying a property, you can earn monthly rentals, part of which can be utilized to pay the loan instalment.
Gold prices fluctuate with the domestic and international market conditions, hence one needs to wait for an appropriate time to sell gold for earning maximum profit.
Return Rates
As per the market and economy, property value increases at a constant pace. The pace of value appreciation depends on the Government’s development activities and announcement of future development projects. In all cases, it gives higher returns as compared to gold investment.
Liquidity
Gold offers more liquidity than real estate. You can sell or purchase gold at any time without any complex procedure. But, if you are dealing with real estate, the procedure is lengthy as it includes documentation and several legal formalities. A real estate deal may take one to six months.
Market Volatility and Risk
Investment in real estate is highly secure and stable compared to gold and other investment options. Property brings financial security for the future. If we talk about Gold, it is more volatile than real estate, and its price changes are quick and frequent. Moreover, keeping gold safe from being lost or stolen is always a matter of concern.
Why Real Estate is a Profitable Investment Option Over Gold?
Real estate has always been a safer and more profitable investment. Owning a residential or commercial property strengthens your financial security and offers you a great return in future.
According to several business magazines, 90% of millionaires created their wealth by investing in real estate. Real estate consistently grows over time, which increases the value and ensures maximum return on the money invested. Moreover, it is less affected by frequent market fluctuation than Gold.
If we analyze the records, it suggests that real estate has always given more than 8% return that can go up to 15% due to the rising tendency of prices. Therefore, it is always a wise decision to invest in real estate. However, one must go through a reputed real estate developer.
IThum World is constructing some of the finest commercial properties in Noida and Greater Noida that offer amazingly designed spaces for offices, retail shops, restaurants, food court, etc., along with a wide range of modern amenities. So, check out our new projects such as IThums 62, IThums 73, and IThums Galleria.
The location of all these commercial properties is best in the region where metro stations, hospitals, schools, petrol pumps, banks, and residential societies are in close proximity. Investing in such premium property can deliver massive returns.
Conclusion
It is clear from the above information that in the Real Estate vs Gold debate, real estate wins the challenge. Real estate investments are more secure and return good value over time. It also helps in creating regular income channels via rental yields. Contact us to explore investment opportunities in Noida and Greater Noida.