AUGUST 202219low by all governments. Also, gold shines, when your paper currency is depreciated, making the return nominal.Volatility & RiskReal Estate is a highly stable investment option, which comes with low risk. Property brings mental satisfaction due to it securing your future. On the other hand, gold is a commodity, which is traded on the bourses. It comes with higher volatility and risks of being stolen.Expenses Add to the ValueOne may argue the property incurs the cost of maintenance and renovations, unlike gold which is altered at will. However, this cost not only appreciates your asset, but also allows you to take taxation benefits.Long Term Value CreationIt is a no brainer that the value of real estate increases, the longer you hold it. It is simply because you cannot create land and with rising population, the demand increases, which ultimately leads to price rise. On the other hand, gold can be purchased into digital form as well. This might reduce the risk of being stolen, but still is an intangible asset.Aids the EconomyReal estate might require large funds, but the survival of a lot of sectors depend upon it. From debt servicing, cement, housing finance, building materials and various others depend upon real estate at large. It also creates a large number of informal and indirect employment opportunities, serving the economy at large.Tax BenefitsThe investment in real estate comes with numerous tax benefits such as tax deduction on mortgage interest, operating expenses and legal costs, property taxes and depreciation.The real estate investment is not only a safe investment but can generate better returns over a period of time while you are still earning a regular income if you are using it as a rental property. It is a great investment option for many reasons such as a fantastic tax advantage, and you can leverage it to build wealth and assets. Whether residential or commercial, real estate has the potential to generate passive income for the investors in form of monthly rentals in cash, which gold investments cannot do
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