For those who cant decide which to invest in first, this book is a great read. Written based on Australian context, some of the content such as tax amount isn't relevant if you stay anywhere else in the world. Differences aside, the fundamentals compared between property and shares in the book is insightful. Personally, I feel that shares will be good for new investors as it requires a smaller capital outlay, higher liquidity, greater diversification and lesser tax payment & other miscellaneous fees. If you're so set on property investment, you can always invest in REITs (Real Estate Investment Trusts). You can put your money into a few different REITs compared to putting all your money into one physical property as an investment. Of course, ideally it will be best to have both in your portfolio but I guess adding a property into my portfolio won't be anytime soon especially as a young adult. However, if you're moving out of your parents' house, please do yourself a favour & buy a house instead of renting. Renting is never good so please avoid doing so if possible. Anyone in dilemma as to which to invest in, this book will serve you well. It lays out the pros & cons of each asset class, written fairly and well-balanced in my opinion.
No comments:
Post a Comment