Investment is one of the most basic natures of human beings, whether it is by cultivating crops with the help of the money earned from the previous crops or buying lands or purchasing gold jewelry. The ultimate goal of any investment remains the same to earn profits or returns. However, there always is a risk factor involved in all types of investments made and effectively managing such risks is the key to earning desired or more returns. As such, when it comes to investment, ‘investing in what’ is always a concern. As there are several options to invest your hard earned money, many people cannot make the right choice.

Gold vs Real Estate - Artech Realtors

One of the most dwindling questions is whether to invest in real estate or jewelry. Here, we are trying to find an answer to that particular question.

Real Estate—the Good and the Bad

Traditionally, investing in real estate has always been a part of the families of India and Kerala. While it may not always have been with the intention of making a profitable return, people were keen to buy properties and keep. One of the most striking benefits of land or real estate is that it never depreciates like other assets that you might buy. This is what attracts many people to invest in real estate.

However, the issues associated with buying land as an investment option are also pressing.

One of the major concerns is that they are not at all liquid and it is difficult to convert into money as it involves a lot of processing. Also, the initial investment in real estate must be huge and time is really essential to see a significant change in the value of the investment.

Jewellery—the Good and the Bad

Gold has been seen as one of the safest and convenient assets for investment for centuries; especially in India and Kerala where gold is always a part of their traditions. Traditionally gold is considered to be a good investment against inflation as the price of gold most of the times tend to go up and one can invest in gold as little as possible. The liquidity factor of the gold also makes it one of the most preferred investment options.

Despite such advantages, gold is not always free from disadvantages.

Unlike old times, the price of gold has been fluctuating heavily and this is a serious concern for people who have invested heavily in gold. Also for people who want to generate income from their investments, gold may not be the best option as gold does not generate any income. The chances of theft and loss are also higher with gold jewelry as most of the gold in India and Kerala are ornaments used by people.

As a result, there cannot be a definitive conclusion derived for the question we have tried to find the answer for in the place. It is definitely dependent on several factors and the risk the investor is willing to assume. Based on such factors, an intelligent option must be chosen by the investor.