Friday 8 June 2018

Buying Highland Real Estate Denver Versus Purchasing Stocks

By David Morgan


American investors are constantly perplexed on where to invest their hard earned incomes. According to a famous American president, one should not wait to buy property. He should instead buy it and wait for the prices to increase. This advice still makes sense in modern day times. If one has some savings and he resides in Denver, then he should prioritize investing in Highland real estate Denver over other investment decisions. With the right kind of property, it is hard if not impossible to go wrong. Millions of Americans have found success in the real estate market. Thus, one will not be the exception.

Buying property versus purchasing stocks seems to be a straightforward issue. On one hand, is an asset that is real on the other is one that exists only on paper or a computer system. Land is tangible. There is no computer glitch that will ever erase the existence of a parcel of land. That is why true wealth is found in properties and not in stocks.

Stocks are not physical. They are paper based or virtual. A stock is simply worth the paper that has been used to print it unless the stock market determines otherwise. Stock markets all over the world are usually heavily manipulated by cartels. At times, price increases and decreases of stock are artificial in nature and they serve selfish interests.

Real estate is the kind of asset for the long term. It can be used for long term purposes such as retirement planning. On the other hand, stocks are the asset for the short term. There are for those who want to make speculative gains in the financial markets. In the long run, a good piece of property will always appreciate in value.

The demand and supply factors work in favor of properties. In any market, value is determined by how the forces of demand and supply interact. In most cases, the value is at the highest point when there is an inverse relationship between these two forces. When the supply is constrained, value is likely to increase especially with increasing demand.

The supply for land is fixed. It is impossible to create more land. On the other hand, the demand is always increase because of a number of factors including the ever increasing rate of rural to urban migration. With these set of circumstances, properties will always increase in value. On the other hand, the supply of stocks is virtually unlimited.

Stocks are volatile while properties are not volatile. The stock market is the most volatile market on earth. Just a simple political happening can drive the value of stocks down. Stocks also lose value due to the forces of recession and inflation. On the other hand, property is inflation proof. It is also conflict and recession proof making it the perfect asset.

It is desirable to be employed. For those who have business acumen, doing entrepreneurship makes a lot of sense. The main goal of working for someone or doing a business is to make an income at the end of the day. This income needs to be invested in the best manner possible. An investment portfolio needs to have a number of properties.




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