r/investing Apr 18, 12:30 AM
Which do you like more: stocks/REITS or real estate property? First off, I just want to say the I appreciate this sub. Really learned a lot regarding general investing. Really helped a guy trying to better his life.
I just want to here your opinions regarding some things:
If you can buy a property in cash outright, without any loans involve. Would you prefer this and become a landlord? over REITS and stock investing which theoretically will yield average 7-8%?
We all know that in buying a property... forget about ROI on the cash you spent. But if it will be fully paid, ROI will come in a decade but you will have cash flow monthly that can be a sour of additional income.
However in stocks, you will not have someone calling you about a burst pipe 3am in the morning.
What are the advantage you like about real eatate compared to stocks?
For loaned/financed deals, I fully get the idea of the RENT covering the mortgage. But in case things goes south and we are not able to keep payments, if the bank forecloses the property, do you still owe money?
Do you prefer paying for a property in cash or loaning?
Also whats making me feel torn in deciding - if yield on the property is low around 6-8%, and you have stocks appreciating in capital averaging 9-10%, wouldnt it be better to own stocks/REITS instead? no tenants. no hassle. no maintenance. just the risk of the stock price going down the drain.
appreciate your insights!
submitted by /u/ApneaBetweenUrThighs
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