Shares or Property?

[wayneL]

That has

Inflation is here and a monster recession coming if not already started.
Assuming that the powers in charge do not push to hot war as a pretext to clear the mess:
Where are you better off:
shares in recession or RE..
My view is RE especially land as an inflation edge, assuming we still have an increasing population.
In Japan, that might be different..
Do not forget gold silver...

That has been a factor in "my" thinking, though I don't discuss that with missus.

...and it's an important factor IMO

 

[divs4ever]

I have read the first part of this topic and jumped over a few years to this page. I hope I'm not repeating a thought someone has already posted in between 2014 and now...

given that many are renting and wish to purchase, would i be right in suggesting that the rent being paid out is technically dead money? So for someone who is renting at say $600 per week, is purchasing an Investment Property even a good idea when that $30k rent could be directed into a home loan? do IP tax benefits really outweigh this?

It makes me think shares might suffer a similar problem for an individual who doesnt live in their own home? (the dead rent money)

I came across a couple of individuals (both tradies strangely enough) who lived in their cars (one a converted utility and the other a van) and rented out their IP's. Obviously singles could do that i suppose.

now personally i would prefer to own , but others would see the advantages of being able to re-locate more easily ( follow better opportunities as they arrive )

BTW i have known two families living in their primary vehicle ( with kids in tow ) , and for some retirees going 'full grey nomad ' has it's temptations as well , whether it is a camper or a year round sequence of cruises

all investment carries ( some ) risk , shares can go down ( and/or stop paying divs. ) , property prices can collapse ( forced selling when there are no buyers scenario )

remember investment properties bring costs as well that rental income has to pay for asset degradation ( wear and tear ) , insurance , other fees and charges ( subtly included in the rent when you have a tenant ) and the current inflation scenario might not be your friend mid-term .

 

[divs4ever]

Inflation is here and a monster recession coming if not already started.
Assuming that the powers in charge do not push to hot war as a pretext to clear the mess:
Where are you better off:
shares in recession or RE..
My view is RE especially land as an inflation edge, assuming we still have an increasing population.
In Japan, that might be different..
Do not forget gold silver...

well last i could make out the true data , the population is shrinking without the aid of migration ( both legal and illegal )

desperate people do crazy things when their skin ( and kin ) aren't on the line , so a hot war is very possible

if Japan can get out of their mess ( without debt forgiveness ) they will become an anomaly .

and capital gains compared to what ? ( CPI , real inflation , maybe over the buying price , assuming 'unrealized capital gains tax ' doesn't become widespread )

precious metals ?? sure but don't tell anyone ( desperate people do dastardly things )