Rarity, durability and scarcity are some factors that have made gold and real estate the most sought-after forms of investments in the world. As a result gold has been used by many governments as a type of legal tender or money. Real estate has also been used by many to lock up capital for a life time. But which of the two is a better investment ? In this article I compare the merits and demerits of gold and real estate so join me in this exploration and discover where you can put your hard earned cash.
RARITY / SCARCITY
Gold is a scarce commodity, it can not be created but it is extracted from the ground. Such scarcity enables it to return its value. Real estate also has the same quality in that the supply of land is finite but the human population is always increasing. As a result the demand for land is always rising above supply a situation which means that the value of land will in turn continue to increase. Hence the saying is sure that says " buy land they have stopped making it."